Industrial Minerals Within Europe – An Imerys Perspective

MINEX Europe 2015 Owen Herod – Corporate Geology Manager

What are Industrial Minerals? – they are used all around you….

Grinding, Milling

Grinding, milling Refining

Calcining Fusion Sintering Plasma

Bleaching Surface Chemistry

Magnet Flotation

Pressing Extruding Pelletizing Casting

Spray drying

Formulation Mineralogy, Analytics

LogistIcs

Sizing

Cover made of resistant, lightweight, fire-proofed and recyclable thanks to carbonates, mica, talc, carbon black

Miniature batteries for high-speed charging and enhanced longevity thanks to graphite and carbon black

Micro-chip and printed circuit boards made of silicium, manufactured in furnaces insulated by refractories then casted for refining in high purity quartz crucibles

Steel reinforcement manufactured in blast furnaces insulated by refractory minerals, then rolled after re-heating in furnaces lined with monolithic refractories

High-tech screens with high-tactile sensitivity and ultra-strength polished with ultra-high precision abrasives

Insulating foils to avoid overheating of the micro-chip: graphite foils

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What are Industrial Minerals? – three catagories

n  Industrial Mineral: “Non metallic minerals and rocks finding application in crude or processed form as functional additives, raw materials or process enablers in a wide range of manufacturing and other industries.”

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FUNCTIONAL ADDITIVES Ingredient added to product composition to enhance its

properties

Kaolin, mica, talc, feldspar for paints or plastic parts

SHOCK ABSORPTION AND LIGHTNESS

RAW MATERIALS Important constituent of a

mineral formula

Clay, kaolin, feldspar for sanitaryware & tableware

WHITENESS, STRENGTH

PROCESS ENABLERS Product used in industrial

processes but not present in the finished product

Monolithic refractories for industrial equipment

HIGH-TEMPERATURE, HIGH WEAR RESISTANCE

Industrial Minerals Within Europe – significant & globally important

n  Industrial Minerals industry in Europe:1

®  Over 700 mines and 750 plants ®  Direct employment of 42,500 people ®  180Mt produced with a value of €10bn

n  Europe is a major global contributor2

1: Source: Industrial Minerals Association of Europe website 2: European Mineral Statistics 2008 – 2012 – British Geological Survey

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What is Kaolin?

n  Kaolinite - alumina silicate mineral n  Kaolin name derived from Kao-Lin in China

n  White, plastic, thermally & chemically stable n  Wide range of industrial applications, including:

Ceramics Paper Paints

Plastics

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Cornwall – the UK’s Kaolin district

2km

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St Austell Kaolin – world class industrial mineral deposit

n  Deposits formed by combined hydrothermal and meteoric alteration of Granite ®  Feldspar ± Mica altered to Kaolinite

n  Over 150 years of production

n  Significant exports (within & external to Europe)

n  Major contributor globally

*1

1

*2

1: Kaolin factsheet: British Geological Survey 2: Pruett et al, 2002 MINEX Europe 2015 Owen HEROD 7

What is Bentonite?

n  Clay rock comprising smectites n  Name derived from Benton Shale in US

n  Formed by alteration of volcanic ash n  Water absorption and swelling characteritics n  Some major uses:

Foundry Pelletising Drilling & construction

Pet products

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Milos – Greece’s Industrial Minerals Island

500m

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Milos Bentonite – World class industrial Mineral deposit

n  Alteration of volcanic ash and pyroclastic flows n  Calcium bentonite – Activation by Soda Ash n  Bentonite mined, shredded, activated and dried

n  8% of global bentonite produced n  All exported – signficiant markets

within Europe

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Who are Imerys? – A world leader in mineral specialties for industry n  Imerys transforms a unique range of minerals to deliver functional specialty solutions (heat resistance,

mechanical strength, conductivity, coverage, barrier effect, etc.) essential for its customers’ products and manufacturing processes.

® A century of industrial know-how in extracting and processing minerals, created in 1999 out of the industrial minerals activity of Imetal (French group).

®  +30 minerals including bentonite, calcium carbonate, feldspar, graphite, kaolin, mica, talc, wollastonite, etc.

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Imerys’ European Mining Sites

n  Over 50 mining sites within Europe

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Imerys’ European Reserves & Resources

Mineral group Reserves 2014 Resources 2014

Proved Probable Measured Indicated Inferred

BALL CLAYS* 11,366 1,541 11,018 1,836 961

CARBONATES (calcite, marble, chalk, limestone, dolomite & dimension stone)* 303 35,148 0 4,169 45,256

CLAYS (brick & roof tile raw materials) 19,688 33,979 18,195 22,225 6,037

FELDSPAR, FELDSPATHIC SAND & PEGMATITE 18,190 6,486 5,066 17,914 18,451

KAOLIN 2,129 18,524 296 3,918 7,783

MINERALS FOR FILTRATION (perlite & diatomite) 449 756 20 3,211 8,118

MINERALS FOR REFRACTORIES (andalusite,quartzite,bauxite,bauxitic kaolin,ref clays & kaolin )* 3,395 1,593 3,055 1,331 2,413

TALC 8,165 3,225 7,316 7,743 3,736

OTHER MINERALS (bentonite, mica, vermiculite, quartz, slate, graphite)* 1,949 810 418 527 370

n  Imerys Listed on NYSE Euronext Paris n  Annually reports Mineral Assets – Uses PERC Standard 2013

® Consolidated reporting of Industrial Minerals – aligned with PERC clauses 50 and 51

* Includes Africa MINEX Europe 2015 Owen HEROD 13

Conclusions

n  Industrial Mineral deposits are an important part of the European Mining Landscape

n  Europe continues to be significant for market and production of Industrial Minerals

n  World-class IM deposits are present in Europe such as Imerys’ ®  Kaolin mining in Southwest UK ®  Bentonite on the Greece Island of Milos

n  IM mines are often in ‘mature’ mining districts… where will the next ones come from….?

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