West African Minerals Corporation One2One Investor Presentation

West Africa – the new Pilbara
• West Africa (including west central Africa) is emerging as the next significant iron ore
province.
• The region has attracted the attention of global majors and diversified miners.
• Iron ore is a significant contributor to diversified miners’ profits, making up to threequarters
of the earnings for Rio Tinto, BHP and Anglo American.
• Major diversified miners are attracted to the area due to the potentially large, high-grade
deposits with generally low processing costs and low impurities.
• African iron ore explorer-developers have significant growth potential with an aggregate
market cap of ̴US$4.0 billion compared to Fortescue with a market cap of US$16 billion.
• Consolidation/investment is a continuing theme in African iron ore.
– Hanlong’s US$1.42 billion revised bid for Sundance Resources (1 st tranche funding received ($5M)
– Afferro’s MOU with Korean steel producer Posco Africa (02.25.13) towards project-level
investment with intention to facilitate infrastructure and project development funding
– Shandong’s US$1.5 billion investment in the Tonkolili Project of African Minerals
• Given China’s goal to own 50% of all foreign iron ore resources that it imports by 2015, it is
likely that Chinese investment into the African iron sector will continue.
Company Overview March 2013
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