Investor 20:20 Presentation

Transcription

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2 Allan Fidock Managing Director & CEO Investor 20:20 Presentation 4 December 2012

3 Disclaimer & Competent Person This document has been prepared as a summary only and does not contain all information about OGL Resources Limited (the Company) assets and liabilities, financial position and performance, profits and losses, prospects and the rights and liabilities attached to the Company s securities. The document should be read with any public announcements and reports released by OGL Resources Limited. The information is based on publicly available information, internally developed data and other sources. Where any opinion is expressed no warranties or representations can be made as to the origin, accuracy, completeness, or reliability of the information. Some of the statements contained in the presentation are forward looking statements. Forward looking statement information may include, but is not limited to, information with respect to the future financial and operating performance of the company or its affiliated companies statements relating to the continued advancement of the Company s project and other statements which are not historical facts. When used in this document and other published information of the Company, the words such as aim, could"," estimate, expect, may, potential, should and similar expression are forward looking statements. Although, the Company believes that its expectation reflected in the forward looking statement area reasonable, such statements involve risk and uncertainties and no assurance can be given that actual results will be consistent with these forward looking statements. Various factors could cause actual results to differ from these forward looking statements including the potential that the Company s projects may experience technical, geological, metallurgical and mechanical problems, changes in commodity prices, changes in government regulation, policies or legislation, unforeseen expenses, fluctuation in the exchange rate of the Australian dollar and the United States dollar and other risks not anticipated by the Company or disclosed in the Company s published material. The Company does not purport to give financial advice. No account has been taken of the objectives, financial situation or needs of any recipient of this document. Recipients of this document should carefully consider whether the securities issued by the Company are an appropriate investment for them in light of their personal circumstance, including their financial and taxation position. Coal Production Target: For Phase 1a and 1b - Coal Production estimate and forecast is based on the current estimated 13.7Mt of JORC Probable Reserves in the Mining Lease (ML 4712) and approved Plan of Operation mine operation for production of 1Mtpa of coal. For Phase 2 - Coal Production estimate and forecast is based on the current estimated JORC Resources and OGL Resources Limited s conceptual future development target of the Bremer View Project (MDL 172). The production estimate is conceptual in nature and there has been insufficient work done at present by way of a feasibility study to support this forecast. Competent Persons Statement Runge Limited Greg Maiden: The estimate of Coal Reserves for ML 4712, as presented in this presentation has been prepared in accordance with the guidelines of the Australasian Code for the Reporting of Mineral Resources and Ore Reserves, prepared by the Joint Ore Reserves Committee of the Australasian Institute of Mining and Metallurgy, Australasian Institute of Geoscientists and Mineral Council of Australia, December The information in this presentation to which statement is attached that relates to the Reserves of ML 4712, is based on the information reviewed by Gregory Maiden, who is a member of the Australasian Institute of Mining and Metallurgy. He is full time employee of Runge Limited. Gregory Maiden has sufficient experience relevant to the style of mineralisation and type of deposit under consideration 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 the Reporting of Mineral Resources and Ore Reserves. Salva Resources Pty Ltd: The estimate of Coal Resources for ML 4712, as presented in this presentation has been prepared in accordance with the guidelines of the Australasian Code for the Reporting of Mineral Resources and Ore Reserves, prepared by the Joint Ore Reserves Committee of the Australasian Institute of Mining and Metallurgy, Australasian Institute of Geoscientists and Mineral Council of Australia, December 2004.The information in this presentation to which statement is attached that relates to the Resources of ML 4712, is based on the information reviewed by Lyndon Pass, who is a member of the Australasian Institute of Mining and Metallurgy. Lyndon Pass is a geological consultant for Salva Resources Pty Ltd and has over 16 years of exploration and mining experience in a wide variety of coal deposits. Lyndon Pass has sufficient experience relevant to the style of mineralisation and type of deposit under consideration 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 the Reporting of Mineral Resources and Ore Reserves. Runge Limited Shaun Ayshford: The information relates to the estimates of Coal Resources and Exploration Target statement for the Bremer View Project as in this Presentation has been prepared in accordance with the guidelines of the Australasian Code for the Reporting of Mineral Resources and Ore Reserves, prepared by the Joint Ore Reserves Committee of the Australasian Institute of Mining and Metallurgy, Australasian Institute of Geoscientists and Mineral Council of Australia, December The information in this presentation to which statement is attached that relates to the Bremer View Coal Resources, is based on the information reviewed by Shaun Ayshford, who is a full time employee of Runge Limited and is a member of the Australasian Institute of Mining and Metallurgy. Shaun Ayshford has sufficient experience relevant to the style of mineralisation and type of deposit under consideration 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 the Reporting of Mineral Resources and Ore Reserves. Shaun Ayshford consents to the inclusion in this Presentation of matters based on this information in the form and context in which it appears. Exploration Target: A further Mt of low to moderate ash thermal coal has been defined as an exploration target additional to the Inferred Resources already stated. The Exploration Target is delineated by wide spaced geophysically corrected drilling between 1,000m and 2,000m and maintains the interpretation of the area being structurally homogenous with multiple thin flat lying seams. Coal quality for the Ebenezer Seams is expected to be similar to that mined at Ebenezer. Delineation of the coal quality for the Mt Morts coal sequence will be the focus of ongoing exploration. The potential quality and quantity shown within is conceptual in nature and there has been insufficient work done at present to define a Mineral Resource in this area under the JORC (2004) Code. The nature of an Exploration Target is such that is uncertain if further exploration will result in the determination of a Mineral Resource in this area. 3

4 Company Overview OGL has an exclusive agreement to purchase two advanced coal tenements in SE Qld within 90kms of the Port of Brisbane Current JORC Probable Reserves of 13.7Mt and JORC Resources of 308.2Mt (24.1Mt Indicated and 284.1Mt Inferred categories) high grade thermal coal (6,700kCal/kg) Additional Mt Exploration Target of low to Moderate ash thermal coal 1 Mining Lease (ML) is granted and Environmental Approvals are in place - no impediments to immediate mining OGL to recommence mining (Phase 1) 2 at a rate of 600ktpa within 12 months from the Ebenezer Mine - expansion to 1.5Mtpa within 2-3 years, 3+Mtpa (Phase 2) 2 from year 4-5 from the Bremer View MDL 172 Available transport infrastructure - immediate access via road (82km) & Pinkenba precinct (Port of Brisbane) - up to 1.5Mtpa OGL Resources is seeking to raise $60m-$100m to complete the acquisition of the coal assets of Zedemar Holdings, and recommission the Ebenezer coal mine in SE Queensland Secured Cape Lambert Ltd (ASX: CFE) as cornerstone investor Agreed terms for a US$50m debt facility from EIG Global Energy Partners 1 Refer to the Exploration Target Statement in the Disclaimer and Competent Person (Slide 2) 2 Refer to the Coal Production Target Statement in the Disclaimer and Competent Person (Slide 2) 4

5 Project Acquisition OGL signed a Heads Of Agreement with Zedemar Holdings Pty Ltd (Zedemar) in May 2011 to acquire 100% of the Ebenezer and Bremer View tenements for a total consideration of A$50m: $40m cash; and 50m OGL shares at the public offer price ($10m) when acquisition financing occurs Agreement has been extended to enable settlement after resolution of legal challenge To complete the Acquisition of the tenements: OGL will need to raise between A$60m-$100m; and 1:2 share consolidation at 10c - concurrently with the capital raising occurring at $0.20/share (pre-money value $20m) The sale is conditional on, amongst other things: OGL completing a placement to raise not less than A$60m; Re-compliance with Chapters 1 and 2 of the ASX Listing Rules; and Obtaining shareholder approval for the transaction along with ASX approval to re-list Significant Value accretion since acquisition by OGL Resources OGL Tenements, Mine Site & Infrastructure OGL commissioned Runge and Salva Resources to complete geological model due diligence Result: Maiden JORC Reserve and Resources and Bremer View Project Resource upgrade OGL commissioned transport and mine costs studies Secured key long term processing equipment - includes a CHPP and crusher units Infrastructure Solution Engaged key infrastructure partners in discussions to progress work and determine access viability Result: Short Term - IAP rail 600ktpa (QRN), rail COP and road option to Port solution through executed MoU Long Term - Rail COP for proposed expansion of QBH/Fisherman Islands and EOI for Fisherman Island via Port of Brisbane General Assisted in the renewal of Mining Lease - ML 4712 (application was made in April 2008 but approved under the guidance of OGL) Appointment of well respected coal industry Directors to oversee future development of the assets 5

6 Board of Directors Mr Jack Tan Non-Executive Chairman Jack has more than 20 years experience in finance roles in finance and investment banking. He was the former Non-Executive Chairman of e-pay Asia Ltd, a leading prepaid mobile phone company based in Malaysia which is listed on the ASX, Non-Executive Director of Orocobre Ltd, an emerging, Lithium & Potash Producer in Argentina and Executive Chairman of Timah Resources Ltd, a NSX listed Australian Iron Ore company. He was the founder and former Director of Rocklands Richfield Ltd (RCI) and Norton Gold Fields Limited both listed on the ASX. Mr Allan Fidock Managing Director & CEO Allan is a coal executive with more than 30 years experience in open cut and underground coal mining operations. Prior to joining OGL Resources, Allan was a member of Macarthur Coal Executive Leadership Group and responsible for mine operations of the company and was the former CEO of Middlemount Coal. Allan s previous coal experience includes Technical Services Manager at the Drayton Mine, roles with Thiess Pty Ltd - Project Development Manager, Mining Manager at the Mt Owen Complex and Senior Project Engineer within the Mine Engineering Group. Other mine management and Engineering positions included Project Manager/Mine Manager at Liddell and Westside Open Cut Mines, Mine Manager at Brickworks Open Cut Gunnedah Colliery and Senior Mining Engineer at New Hope Corporation. Mr Roger Marshall OBE Non-Executive Director Roger has over 40-years experience in the Mining Industry, covering management, marketing, finance and operational roles. He has been responsible for the development and production of a number of mines. Roger was previously the Deputy Chairman of Macarthur Coal Limited (since July 2001). He previously served on the Boards of MIM Holdings Limited ( ), CITIC Australia Trading Limited ( ), Energy Brix Corporation ( ), AGD Mining Limited ( ), Macarthur Diamonds Limited ( ), Copper Resources Corp Limited ( ) and Queensland Ores Limited (Chairman from May June 2009 and director from June 2009 to September 2009). In 1989, he was made an Officer of the Order of the British Empire for his services to the Mining Industry and is an Honorary Life Fellow of the Australasian Institute of Management Mr Neil Stuart Non-Executive Director Neil is a qualified senior geologist who began his career in the mining industry in Neil has worked all over the globe and developed extensive experience in a wide range of mineral commodities including coal, uranium and base metals. Neil was a founding Director of Oroplata Ltd and Rimfire Pacific Mining N.L. He is presently a Non-Exec Chairman of Bowen Energy Ltd and Non-Executive Director of Orocobre Ltd and Axiom Mining Ltd. Mr Henry Khoo Non Executive Director Henry has extensive sales, marketing and management experience in consumer and durable products in Asia Pacific. He has also been involved in project acquisitions, evaluation, company mergers and Initial Public Offerings. 6

7 Strong Fundamentals There are a number of significant strategic advantages to these tenements Large resource base Over 300Mt of JORC compliant resource Significant exploration target Close proximity to existing transport infrastructure QR owned rail loop adjacent to Mining Lease Major highways/motorways, road haulage approvals being completed Only 90kms to Port of Brisbane Access to existing ship loading facility Existing ship loader underutilized Feasibility study completed on new coal stockpile and reclaim system Have commenced negotiations on exclusive operating agreement Low capital and short time frame for availability (12 months) Low cost producer Low Strip Ratio in ML reserve (5.2:1) Low onsite capital requirement High quality export product High CV (6,700 kcal) Low sulphur/low Nitrogen Well regarded product when mine historically produced and sold in the market Low operating risk Mine operated for 15 years Open cut mining, known geology Environmental approvals in place Near term producer Product to market within 12 months of raising capital 7

8 Supreme Court Case Briefing Background: Two local residents challenged the Queensland Government s Minister for Mines powers in his decision to renew Mining Lease (ML 4712) in Sep 2011, judicial review action Supreme Court hearing held in Mar 2012 Judgment received in May 2012, case was dismissed, ML 4712 renewal upheld Applicant filed to Supreme Court of Appeal in late May 2012 Court of Appeal hearing 12 th Sep 2012 Appeal judgment pending - expected within a maximum of 6 weeks Legal Position Legal advice is Appeal will be unsuccessful and dismissed NO injunction exists against ML hence no impediment to the tenement owner to be on ground now recommissioning the mine NO future injunction legally possible Last legal option is an application to the High Court of Australia, low risk (<5%) of High Court accepting application and hearing the case Capital Raise On track to raise minimum of A$60m, terms for $50M debt facility agreed with EIG Global Energy Partners Capital Raise timetable pending judgment date from Supreme Court of Appeal Strong investment interests from institutions after previous road shows (domestic and international) 8

9 OGL Tenements Location OGL s mining/exploration tenements are the closest to the Port of Brisbane Yancoal 380km Peabody 293km New Hope 227km Tenements Mining & Exploration Tenements are located <85km to the Port of Brisbane 9

10 ASX Listed Project Comparables Ebenezer is one of the closest emerging coal mines to an established Port in Australia Ebenezer (OGL) Jeebropilly (New Hope) New Oakleigh (New Hope) Doyles Creek (Nucoal) New Acland (New Hope) Dingo West (Bandanna Energy) Wilkie Creek (Peabody) Vickery South (Coalworks) Range (Stanmore) Maules Creek (Aston) Columboola (Metrocoal) Cameby Downs (Yancoal) Meteor Downs (Endocoal) 90km (West Moreton) Thermal 90km (West Moreton) Thermal 100km (West Moreton) Thermal 100km (Hunter Valley) Thermal 227km (West Moreton) Thermal 260km (Bowen) PCI/Thermal 293km (West Moreton) Thermal 350km (Gunnedah) SSCC/Thm 360km (Surat) Thermal 380km (Gunnedah) SSCC/Thm 380km (Surat) Thermal 380km (West Moreton) Thermal 420km (Surat) Thermal Rail Distance To Nearest Port (km) Key: Projects located in same basin as Ebenezer (OGL) Source: OGL Review and Company Review 10

11 Key Project Details Location Existing JORC Resources & Reserves Product Ebenezer Historical Production Geology The tenements (ML4712 & MDL172) are both located in SE Queensland, near Ipswich Ebenezer covers 675ha with freehold titles Tenements are in close proximity to New Hope Corporation Limited s ( New Hope ) existing Jeebropilly and New Oakleigh coal mines Coal transport solutions identified road and rail haulage and MoU for Port access Total JORC Probable Reserves of 13.7Mt and JORC Resources of 308.2Mt (24.1Mt Indicated and 284.1Mt Inferred categories) Ebenezer (ML4712) 13.7Mt JORC Probable Reserve, 31.3Mt JORC Resource (24.1Mt Indicated and 7.2Mt Inferred categories) Bremer View (MDL172) 276.9Mt JORC Inferred Resource Additional Mt of low to moderate ash Exploration Target identified 1 Coal is high quality export thermal coal (6,659kCal/kg adb, LOM Average) Ebenezer was mined from 1988 until closing in 2003 Historic production of 33.6Mt ROM coal (max. annual production 3.0Mt ROM) Idemitsu owned closed due to low prevailing coal prices A$37/t (mid US$20/t) Geology well understood previously mined and extensively explored Located in the Walloon Coal Measures and exhibit the same geology as nearby New Hope operating coal mines Jeebropilly and New Oakleigh 1 Refer to the Exploration Target Statement in the Disclaimer and Competent Person (Slide 2) 11

12 Key Project Details Ebenezer Initial Mine Plan Near term coal production (within 12 months) Phase 1a 1Mtpa ROM to produce approximately 600ktpa of export quality coal product Phase 1b Expansion to produce ~ Mtpa of export quality coal Strip Ratio Ebenezer: LOM average 5.2 bcm per ROM tonne (1 st 4 years at average 4.5:1) Onsite Infrastructure Road Access Rail Access Port Access Power 110KV power lines, sub-station supply in place onsite Water supply secured via a dedicated pump & pipeline from the Bremer River Tailings dam, raw water dam, ROM pad, site office 82km to Pinkenba precinct (Port of Brisbane), State owned highways/tollways no expected restrictions to truck movements, 3 trucks per hour for 600Ktpa production Adjacent existing rail line loop and rail to the Port of Brisbane approximately 90km away Existing West Moreton railway line owned by QR and operated by QR National East of Toowoomba Range bottleneck major advantage for latent train capacity Phase 1a-1b Pinkenba precinct (Port of Brisbane) under-utilised (currently at ~20%) Phase 2 Pinkenba precinct (Port of Brisbane) plus additional capacity through Port of Brisbane (Fisherman Island) expansion plans. Existing coal terminal operated by Queensland Bulk Handling ( QBH ) current capacity of 10Mtpa Port of Brisbane Authority is targeting a doubling of coal export capacity to 20Mtpa by 2020 initial expansion to 14Mtpa OGL is a logical cornerstone customer due to proximity to Port 12

13 Ebenezer Mine (ML4712) Overview Resources and Reserves Summary for Ebenezer Category Resources (Salva Estimate) Reserves (Runge estimate) Probable Reserves 13.7 Indicated Resources 24.1 Inferred Resources 7.2 Total Ebenezer Coal Specifications Coal Quality Low Ash Product High Ash Product 15 Years LOM Average Newcastle Export Benchmark Moisture % Ash % Calorific Value kcal/kg 6,700 5,800-6,300 6,659 6,760 Sulphur % Proposed Production Profile '000 tonnes 3,500 3,000 2,500 Export Coal Product Represents <2% discount to Newcastle benchmark on average CV basis 2,000 Phase 2 1,500 1, Phase

14 Coal Quality Ebenezer Mine Comparables The Ebenezer project has export quality thermal coal. The coal qualities include high calorific value, low sulfur and low nitrogen % adb Moisture Content % adb Ash Content Newcastle Benchmark Newcastle Benchmark ,900 6,700 6,500 Cameby Downs Wilkie Creek New Acland Jeebropilly EBZ kcal/kg CV Calorific Value Newcastle Benchmark Cameby Downs Wilkie Creek New Acland Jeebropilly EBZ % adb Sulphur Content Newcastle Benchmark 6, , , , ,500 Cameby Downs Wilkie Creek New Acland Jeebropilly EBZ 0 Cameby Downs Wilkie Creek New Acland Jeebropilly EBZ Source: OGL 14

15 Ebenezer Mine Historical Ebenezer Lanes Pit Operation and Current Site Layout 15

16 Ebenezer Geology Thin Seam Mining The mining process utilises smaller, readily available equipment with lower capital and consumable costs (eg. tyres) Mine Measure Coal Sequence Geological Characteristics Ebenezer Walloon Ebenezer Bremer View Project Walloon Ebenezer & Mt Mort Jeebropilly Walloon Jeebropilly 0-100m depth; 6 seam groups (A-F), 52 plies 0.2m ave.coal thickness = >10m coal 0-120m depth; 6 seam groups (Ebenezer), 5 seam group (Mt Mort), 132 plies 0.26m ave. coal thickness => 34m coal 0-120m depth; 7 seam groups, 43 plies ave. coal thickness between m New Acland Walloon Acland-Sabine 6 seam groups, 47 plies 0.23m ave coal thickness Working coal seam section Historical Ebenezer Mine Photo Historical Ebenezer Mine Photo 16

17 CHPP Infrastructure OGL has an arrangement to purchase a suitably sized CHPP for construction and commissioning on site Modular CHPP Unit t/hr The CHPP is a key operating item required to bring the project into production The CHPP is a second hand unit and will require refurbishment and commissioning by an independent industry contractor Raw Crusher Unit - 500t/hr Modular CHPP Unit t/hr 17

18 Production Profile & Infrastructure Phase 1: Mtpa Coal (Ebenezer Mine) Phase 1a 600ktpa Coal 1 Transport: Road Port: Pinkenba precinct (Port of Brisbane) dedicated coal stockpile area (seek exclusive OGL use) Advantages: Near term start, immediate access to port, low capex, no resident impact by road Phase 1b 1.5Mtpa Coal 1 Transport: Road Port: Pinkenba precinct (Port of Brisbane) dedicated coal stockpile area (seek exclusive OGL use) Advantages: quick ramp up to higher coal output volume from mine site, target to expand via simple change to Plan of Operations, minimal capex for expansion at mine site Phase 2: 3Mtpa Coal (Bremer View Project) Transport: Road and Rail for increased output from 1.5Mtpa to 3.0Mtpa 1 Port: Pinkenba precinct (Port of Brisbane) and Fisherman Island (Port of Brisbane) Fisherman Island (Port of Brisbane) coal terminal expansion plan to 14Mtpa by 2014 and targeting 20Mtpa by 2020 Advantages: OGL operation strategically located nearest coal operation to Fisherman Island site, east of the Toowoomba Range avoiding rail bottleneck, potential significant coal producer to support/cornerstone Fisherman Island expansion plans 1 Refer to the Coal Production Target Statement in the Disclaimer and Competent Person (Slide 2) 18

19 Infrastructure Options Coal Haulage and Port Access Options 19

20 Infrastructure Options Road Transport Pinkenba Precinct Port of Brisbane Port Access Capacity available for 600ktpa + Approvals Low Risk, state road Capital Costs Low Transport Costs Moderate, 82km Timeframe Immediate access Operational Usage Short/Long term option Operational Capacity 600ktpa to 1.5Mtpa+ Rail Transport Fisherman Island Terminal Port of Brisbane Port Access QBH fully contracted, PBPL planned expansion option only Approvals Low Risk, QR/QRN IAP obtained Capital Costs High Transport Costs Low-Moderate, 90km Timeframe minimum 2 years Operational Usage Long term Operational Capacity up to 3Mtpa* * OGL estimates, subject to PBPL s planned expansion 20

21 Road Access Road to the Export Market Travel distance by road to the Pinkenba precinct is approximately 82km Path via major state highway, motorway (toll way) and into industrial port zone (no residential impact) Low traffic impact, heavy duty highway/motorway was recently upgraded Permits and Approval process are known and will require standard engagement of key stakeholders Road Transport Impact Study is completed, this study will form the basis of a submission for haulage approval Engineering group Parsons Brinkerhoff have completed the Road Transport Impact Study and are assisting with approval submissions to required agencies M1 Port Site Roadways to Export Port: 1.Mine Site 2.Champions Way 3.Cunningham Highway 4.Ipswich Motorway (M2) 5.Logan Motorway (M2) 6.Gateway Motorway (M1) 7.Kingsford Smith Drive 8.Pinkenba precinct 21

22 Port Access - Phase 1a & 1b Pinkenba Precinct - Port of Brisbane Facility Existing under-utilised port ship loading facility OGL is progressing road haulage approvals low capital costs and immediate access MoU executed for Feasibility Study on construction of a coal stockpile which connects into an existing reclaim system Feasibility Study completed, study confirmed the planned arrangement is economically and practically feasible 12 month approval and construction timeline This facility enables OGL to be an independent producer of high quality export thermal coal Negotiation on Commercial arrangements for exclusive use have commenced 22

23 Rail Access Tenements are 90km by rail to the Port of Brisbane ML4712 Site Layout and Rail Loop Location OGL received an initial Indicative Access Proposal ( IAP ) from QR National to rail up to 600,000 ton of coal p.a. for 15 years from the Ebenezer Mine The existing rail spur and loop is a QR-owned multi user facility historically shared with the Jeebropilly mine OGL has submitted formal request to QR for rail capacity to Fisherman Island (Port of Brisbane) for Phase 2 production output 23

24 Port Access Phase 2 Fisherman Island Existing Port capacity at the Fisherman Island (Port of Brisbane) is currently 10Mtpa and fully contracted Fisherman Island Terminal, Port of Brisbane The coal terminal is operated by Queensland Bulk Handling (QBH) a 100% subsidiary of New Hope Corporation Limited Formal request has been made to QBH to access existing capacity and future expanded capacity The Port of Brisbane Authority has publicly stated that it is seeking to expand the volume of export capacity to 20Mtpa by 2020 Short term expansion to 14Mtpa by 2014 Due to OGL s strategic mine location and close proximity to the Port of Brisbane, there is an ability to support/cornerstone future expansion plans at Fisherman Island 24

25 Bremer View (MDL172) Tenement Highlights Location Map of Bremer View Project Bremer View is located adjacent to the Ebenezer Mine Tenement covers 9,202ha of private land with extensive exploration drilling by Ebenezer Mining Company Current JORC Inferred Resources of 276.9Mt Coal resources occur between 0-120m depth. JORC Resource estimate based on 435 historical drill holes Additional Mt Exploration Target of low to Moderate ash thermal coal 1 has been estimated by Runge and future exploration will seek to upgrade this to a JORC compliant resources Coal quality is consistent with that of the Ebenezer and Jeebropilly Mines Bremer View tenement (MDL 172) granted to 31 October, 2015 Tenement contains coal seams from the Walloon Coal Measure in 2 coal sequences: Ebenezer (6-8 seam groups) Mt Mort (5 seam groups) 1 Refer to the Exploration Target Statement in the Disclaimer and Competent Person (Slide 2) Resources Summary for Bremer View Category Bremer View (Mt) Indicated - Inferred Total

26 Bremer View (MDL172) Priority Resource Locations at MDL Mt 23.8Mt 22.3Mt 50.2Mt Priority - Initial Phase 2 development target area 8.8Mt 29.4Mt Beyond Phase 2 development target area Source: Runge Limited 26

27 Costs & Funding Ebenezer Mine - Operating Costs Use of Funds A$60m A$100m Expected to be a Low-Cost West Moreton coal producer Close to existing rail and port infrastructure <90km Strong operating margin and solid cashflow Close proximity to skilled workforce (no FI/FO) Project Acquisition $40.2m $40.2m Equipment and Capital Costs $5.0m $25.1m Site Preparation and Start-up $2.5m $8.2m Bremer View Exploration & Development $2.0m $10.4m Estimate of Operating Costs*: Mining and processing costs A$33/t ROM A$55/t Product Transport costs A$11-$14/t Product Port costs - $6-8/t Product Total Operating Cost: A$72-$77/t Product Expenses of the offer $6.5 m $7.5m Stamp Duty on acquisition $2.6m $2.6m Working Capital $1.7m $6.5m Total* $60.5m $100.5m OGL Capital Requirement A$60m to A$100m Funds to commence operations; Exploration and development expenditure planned for MDL 172 to increase resource; and Initial reserve classification for mining feasibility studies * OGL Resources conceptual operating costs estimates

28 Proposed Project Timeline Key next steps: Complete project acquisition Finalise infrastructure solution Engage key personnel for mine commissioning and project development Calendar Year Project Acquisition Infrastructure and Transport Access Agreements Waste Removal Site Infrastructure Works Construction to commissioning of CHPP Commencement of Operations/Coal Mining (Ebenezer) ML 4712 Reserve/Resources Upgrade First Coal Sales From Ebenezer Mine Phase 1a MDL172 Exploration Preparation Plan of Operation lodgement and Approvals (Phase 1b expansion) Infrastructure Development & Construction (Phase 1b expansion) Initial Coal Production (Phase 1b expansion) Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 28

29 Investment Highlights Near term production export quality thermal coal Mining Lease All approvals in place JORC Probable Reserves 13.7Mt Existing Site Infrastructure Road Transport Access Approval Underway Port Facility Operating Agreement Negotiation Underway High Quality Thermal Coal Product 29

30 Thank you

31 Contacts OGL Office Addresses SYDNEY Level Market Street Sydney NSW 2000 Phone: Fax: info@oglltd.com BRISBANE Level Coronation Drive Milton QLD 4064 Phone: Fax: Fortbridge Consulting Media & Investor Relations Bill Kemmery Phone: bill.kemmery@fortbridge.com Joint Lead Corporate Advisors Matthew Storey Canaccord Genuity (Aus) Matthew.storey@canaccord.com.au Jonathan Pearce Patersons Securities jpearce@psl.com.au 31

32 Offer Details Post-Consolidation Shares & Options $60m Equity Raise & $50m Debt Facility $100m Equity Raise Un-diluted Fully diluted Un-diluted Fully diluted Shares on Issue 81,922, % 13.6% 81,922, % 10.6% Vendor Shares (Zedemar Holdings) 50,000, % 8.3% 50,000, % 6.4% Placement Investors 300,000, % 49.8% 500,000, % 64.5% Options on Issue Existing (OGLO.AU) 30,000,000 Convertible Notes (if converted to Shares) 20,000,000 Debt-related options (unlisted) 60,213,590 Performance Shares & Options* 5.0% 30,000, % 20,000, % 3.3% 3.0% 2.6% 10.0% N/A Performance Shares 10,000,000 Performance Options - Board, Management & Broker 50,000, % 1.7% 8.3% 10,000,000 83,333, % 1.3% Total 461,922, ,213, % 100.0% 661,922, ,333, % 100.0% Market Capitalisation A$92.4m A$132.4m 10.7% On completion of listing, OGL will have cash at bank of ~A$8m-46m after costs are paid *Milestone Payments required for Performance Shares and Performance Options to Vest (in equal 25% increments) 1. OGL receiving written confirmation from infrastructure providers to deliver and export coal from ML JORC compliant Reserves increase by 50Mt above existing reserves to a minimum of 63.7Mt total JORC Reserves 3. OGL completing cumulative coal sales totaling 500,000 tonnes at pricing deemed commercially acceptable by the Board of Directors 4. Acceptance of a plan of operation for expansion to 1.2Mtpa of saleable product 32