19.11.2014 areva's offer for mongolia, remy autebert

AREVA’s offer for Mongolia

Remy AUTEBERTPresidentAREVA Asia

November 2014

Mongolia Projects & Inv estment Summit - AREVA presen tation – November 2014 p.2

Contents

AREVA at a glance

AREVA Mines

AREVA – Responsible company


Contents

AREVA at a glance

AREVA Mines



AREVA is a global leaderin low carbon solutions for power generation

AREVA’s share ownership is particularly stable.

The French governement holds 86.52% of AREVA’s share capital directly or indirectly at Dec. 31, 2013


Reference year: 2013

334 reactors for O&M and BE

Services

Europe, CIS and Africa188 reactors in operation

132 reactors served by AREVA

O&M and BE Services

M&FE

132

115 Asia124 reactors in operation


O&M and BE Services

M&FE

93

99

North & South America125 reactors in operation


O&M and BE Services

M&FE

109

106

AREVA provided services to 346 reactors worldwide i n 2013: 334 for O&M, 320 for M&FE

Over 90% of all nuclear utilitiesare AREVA customers


Contents

AREVA at a glance

AREVA Mines



Mining Business Group

Mining

• Mining: Uranium mines exploration and operation activities

Reactors & Services

• Design and construction of nuclear reactors

• Maintenance and modernization of the nuclear power plants

Back-End

• Recycling of the used fuel and provider of clean-up and dismantling services

Renewable Energies

• Development of wind energy, bioenergy, solar power and hydrogen power solutions via partnership

Front-End

• Conversion and enrichment of the uranium

• Design of the fuel for the nuclear reactors

€1,756M revenue in 201319% of AREVA’s revenue

€9.6bn in backlog(11 years of production)

5,280* employeesAccross the globe, on the 5 continents

* Global workforce managed by AREVA (regardless of AREVA’s stake in mining joint ventures)


MINE DEVELOPMENT

MINING OPERATIONS

ORE PROCESSING

� Discovering new ore bodies for future mining (geophysics, airborne surveys, drilling campaigns)

� Design and construction of mining infrastructure through a staged process (concept, pre-feasibility, feasibility study)

� Ore extraction using various methods and techniques (open pit, underground, in situ recovery)

� Concentration of uranium contained in ore using chemical processes (acid / alkaline leach, heap / dynamic leach)

MINERALEXPLORATION

� Restoration of mine sites in accordance with applicable environmental standards.

SITE RECLAMATION

AREVA is active throughout the whole uranium mining cycle

TRADING

� Purchase and sales of uranium products

� Services related to uranium (swaps, loans)

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Market demand for uranium

New mines will be needed to meet demand in 2020

100

80

60

40

20

0202520202015

Supply / Demand balance(‘000 tU/yr)

Demand to be coveredby new mining projects

Mines under construction

Production fromexisting mines

Secondary* sourcesof supply

Demand

*Secondary resources: Uranium from dismantled Russian and US weapons put on the civilian market (HEU) , materials recovered from used fuel, and sale of uranium stocks by the DOE.Source : WNA


AREVA adapts its portfolioto market conditions

Depends on market conditionsProject portfolios remains “active” (investment limited to studies) so they are ready for sustainable market recovery

Sites in operation Continue explorationLaunch new projects

NigerSOMAÏRCOMINAK

CanadaCigar Lake / McClean LakeMine: CamecoMill: AREVA

McArthurOperator: Cameco

KazakhstanKATCO

NigerImouraren

CanadaNamibia

Mongolia

Gabon

Australia


AREVA adapts its portfolioto market conditions

�

Exploration, production sites and projects

KazakhstanKatco

NigerSomaïrCominak

Imouraren (project)

CanadaMcArthurCigar Lake

McClean (JEB mill)

Namibia

Exploration only

Australia

Mongolia

Gabon


AREVA and Mongolia, 18 years of partnership

Creation of COGEGOBI with activities focused on Uranium exploration

First significant results around Dulaan Uul and confirmation of its potential

First discovery of Zoovch Ovo depositSignature of a cooperation agreement with Mitsubsihi Corporation

Classification of the Dulaan Uul deposit resources by the Mongolia Authority of Minerals Resources (6,259 tU)

� ISR test performed for checking the technical feasibility to recover Uranium on the Umnut deposit

Classification of the Zoovch Ovoo deposit resources by the Mongolia Authority of Minerals Resources (57,700 tU) Signature of a Shareholders Agreement between AREVA MONGOL and MonAtom for the mining development of the deposits Mitsubishi became 34% shareholder of AREVA MONGOL

1996

2009

2011

2013

2003


AREVA in Mongolia and the future

The AREVA exploration company is present in Mongolia for 18 yearspreparing to develop its project for more than 30 years

� Local drilling companies: Ordgeo, Gobigeo, Uran Drilling, …

AREVA gives priority to local contractors

Investment already made of more than 150 MUSD

Actual staff of 122 people will be considerably increased in the coming years during the development and operating phases.

90% of the staff are Mongolian citizens , this level will be maintained during the further AREVA presence in Mongolia

Social responsibility expressed by financing of social projects and employment creation in surrounding provinces


Contents

AREVA at a glance

AREVA Mines



Our priority: health & safety

At the end of 2013, the highest dose recorded at AREVA Mines over a period of 12 months was less than 16 mSv, the rate required by AREVA’s mining activity standards.[International standards: annual maximum cumulative dose less than 100 mSv over 5 years, not exceeding 50 mSv in any given year]

Radiation protection

Sanitary monitoring of former employees and local populations:

- Gabon 2010- Niger 2011- 900 medical consultations between 2010 & 2013

Health Watch


Respecting people and land

Mines as catalysts to improve the local, social and economic fabricSome examples …

Kazakhstan

KATCO supports various and major projects in the District of Suzak like the construction of a secondary school in Sholakorgan city and a kindergarten in Tasty Village

Niger

AREVA supports local economic development in Arlit via a micro-credit project (AREVA financed the opening of an Arlit Crédit Mutuel agency in Arlit).

Gabon

AREVA is financing initiatives in the Mounana rehabilitated site area.

Namibia

AREVA helped improve the Spitzkoppe water access and management system.

Canada

AREVA funded the renovation of the Ice Arena and the Youth Center, to allow the local community to socialize in a safe environment (Baker Lake Hamlet).

Health, education, economic & social development in itiatives


International expertisein site reclamation

Dismantling of facilities

236 sites in France, sites also in Canada, the USA and Gabon

Before After

Management of project to convert land

Radiological and environmental monitoring

Reclamation and replanting of former sites

Bellezane (France)

Cluff Lake (Canada)

Mounana (Gabon)


A strong commitment in Mongoliawith successful projects

Community Liaison Committees started in 2013 in Shanshand and Ulaanbadrakh sums –Dornogobi Province

Regular visit to 54 families living on AREVA exploration licenses in Dornogobi Province

More than 220,00 USD invested in 2014 for local development projects in Dornogobi and Sukhbaatar provinces

Trip to Kazakhstan in September for herders of Ulaanbadrakh sum

Livestock reconstitution project implemented since 2007 : today over 450 families in total and 55 out of them are herding families with over 12.1 thousand heads of livestock

Participatory environmental monitoring with local herders launched in 2014 with monthly sampling campaign

Purchase of local livestock slaughtered in UB for long term supply the COGEGOBI camp

Launch in November of a 2 years veterinary project in Ulaanbadrakh sum with permanent presence of a team of 3 veterinarians (1 French, 2 Mongolians)

Trip of herders in KATCO, AREVA-Kazatomprommine in Kazakhstan

Mongolia Projects & Inv estment Summit - AREVA presen tation – November 2014 p.20Bogd Khan National Park-25 Septembre