Ann: Small to Mid Caps Webcast of CEO Presentatio, page-12

re: Ann: Small to Mid Caps Webcast of CEO Pre... Sundance Resources (ASX:SDL) – Update with Management

• The Sundance CEO is in London updating investors and analysts.

• Following the lapse of the bid from Hanlong, the company is actively pursuing alternative partners for funding and development of their high quality iron ore project.

• The resource at their Mbalam iron ore project which straddles the Republic of Congo (ROC) and the Cameroon is extensive.

• While the size of the resource is over 4 Bt at 36.3%, the key is that they have 436 Mt of high grade DSO reserves at 62.6%.

• The reserve estimation is based on a 2.6% cut off for aluminium which is the quality of fines to serve the coastal Chinese steel mills.

• There is scope for DSO reserves to go up should the company look at the product specification required for the inland steel mills.

• Most of the DSO for the project comes from the ROC deposit with the Cameroon being mainly itabirite.

• The project requires $4.6bn of funding including a £1.2bn EPCM, owners cost and contingency element.

• The key funding requirement is for the rail (43% of funding) which will take 3 years to build and bring the project on stream.

• Seven routes were looked at for the rail by Calibre with the chosen route of 510 km selected to round the nature reserves.

• The whole route will require only 640m of bridges.

• The rail route planned in the Sundance DFS is for 35 mtpa capacity but can be expanded to 100 mtpa.

• Environmental approvals are already in place for the port, rail and mine in the Cameroon and there is a declaration of land for public utility in place for the port and rail corridor.

• Sundance is talking to a number of parties which include a number of steel mills in China and traders outside China.

• The key to the funding for the railway will depend on a form of offtake for the high quality product from Sundance.

• These contracts will form the basis of the funding for the rail and port.

• The company are targeting the end of the year for financing discussions to conclude.

• It will take 6 months for detailed engineering work to be put into place to build the rail.

• The company currently have $30m in cash and expect to reduce their monthly burn rate from $3-3.5m to $2-2.5m.

Conclusion: There is no doubt that Sundance has the highest quality project in the region with 435 Mt Reserves of high quality DSO which will lend itself to a high grade fines product.

The DSO is key to the viability to the economics of the project as it provides the basis of the funding for the railway. Once Sundance secures the funding for the project, it will pave the way for other projects in the region.

The Cameroon and the ROC offer one of the better West African regions to work in with pro-active government policies in place to develop projects.

The Hanlong acquisition was protracted and came to nothing but in the meanwhile the company has upgraded its reserves and put in place the regulatory requirements to progress the project. Mbalam is both the jewel in the crown and the key to unlocking value in the region.

http://www.proactiveinvestors.co.uk/columns/sp-angel/13245/todays-market-view-including-emed-mining-solgold-rio-tinto-sundance-resources-and-others-13245.html