November 2017

Arafura Resources Limited

Up and coming supplier of NdPr to permanent magnets used

in the growing clean energy industry

Perth Western Australia

Disclaimer

2

Important Notice

This presentation has been prepared by Arafura Resources Limited (Arafura Resources). It is of a summary form only and therefore contains general background information which may not be complete. It should be read in conjunction with and full review made of Arafura Resources' disclosures and releases lodged with the Australian Securities Exchange (ASX) and available at www.asx.com.au.

This presentation contains certain statements which may constitute "forward-looking statements." Such statements are only expectations or beliefs and are subject to inherent risks and uncertainties which could cause actual values, results or performance achievements to differ materially from those expressed or implied in this presentation. No representation or warranty, express or implied is made by Arafura Resources that any forward-looking statement contained in this presentation will occur, be achieved or prove to be correct. You are cautioned against relying upon any forward-looking statement. Except for statutory liability which cannot be excluded, each of Arafura Resources and its related body corporates and their officers, employees and advisers expressly disclaims any responsibility for the accuracy or completeness of the material contained in this presentation and excludes all liability whatsoever (including in negligence) for any loss or damage which may be suffered by any person as a consequence of any information in this presentation or any error in it or omission from it. Arafura Resources accepts no responsibility to update any person regarding any inaccuracy, omission or change in information in this presentation or any other information made available to a person, nor any obligation to furnish the person with any further information.

This presentation does not constitute an offer of any securities in Arafura Resources, in any jurisdiction, nor an invitation to apply for such securities, in any jurisdiction. This presentation does not provide investment advice or financial product advice. You should obtain professional advice and carry out your own independent investigations and assessment of the information in this presentation (including any assumptions) before acting.

Information in this presentation which is attributed to a third-party source has not been checked or verified by Arafura Resources.

The information in this presentation that relates to Exploration Results or Mineral Resources is based on information compiled by Mr Kelvin Hussey BSc (Hons). Mr Hussey is a Member of the Australian Institute of Geoscientists and he has sufficient experience which is 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 2012 Edition of the "Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves (The JORC Code)". Mr Hussey consents to the inclusion in this presentation of the matters based on his information in the form and context in which it appears.

Mr Hussey is a full-time employee of Arafura Resources.

Investment Highlights & Capital Structure

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ASX Code

ARU

Share Price (31-Oct-17)

A$0.105

Issued Shares

575.8m

Market Cap

A$60.5m

Cash (30-Sept-17) +Placement

A$15.3m

Debt

Nil

Enterprise Value

A$45.2m

  • ASX listed company developing the Nolans Rare Earths Project in the Northern Territory, low geopolitical risk, 30+ year mining and chemical processing operation

  • Nolans is one of the largest and richest deposits of Neodymium- Praseodymium (NdPr) rare earths in the world and its forecast operating costs are in the lowest quartile

  • NdPr is the critical raw material used in the production of high-strength permanent magnets used extensively in the automotive, clean energy, electronics and healthcare sectors

  • Arafura has the capability of meeting 5-10% of global demand for NdPr

  • Nolans has been afforded major project status by the Northern Territory and Australian governments

  • Nolans is in advanced feasibility and environmental assessment

Top 5 Shareholders

JP Morgan Nominees

20.47%

ECE Nolans Investment Co

19.05%

HSBC Custody Nominees

2.59%

Citicorp Nominees

2.31%

BNP Paribas Nominees

0.85%

4 The NdPr Market

Arafura Resources Ltd. published this content on 14 November 2017 and is solely responsible for the information contained herein.
Distributed by Public, unedited and unaltered, on 14 November 2017 01:53:01 UTC.

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