BUSINESS CAMPUS MODEL AS APPLIED TO URANIUM MINING IN MALAWI A CASE OF KAYEREKERA URANIUM MINE Presented by Peter Chilumanga

Definition & customer segments Definition - Business Campus Model Business model canvas is a strategic management and entrepreneurial tool that helps you to describe, design, challenge, invent, and pivot your business model in an easy way. Customer Segments  In case of Kayerekera mine, the main customer segment base was potential buyers of main Yellow cake product (in Canada)  Company also has multi supply customers for different operational input products

Infrastructure – Key Resources  Main Key Resource is Uranium ore  Uranium Reserve ( tonnes grade of approximately 800 ppm U 3 O 8 )  Direct Resources - Mining Plant used in the open pit mine, water, reagents, electricity, housing, workshops and processing plant.  Indirect Resources - Human resources, financial capital, transport, intellectual properties use of processing technologies, packaging and others  Processing plant and its associated systems

Infrastructure - Key Activities Key Activities include two main aspects – Mine planning, scheduling and mining of uranium ore to feed into the uranium processing plant – Processing of uranium ore with a view to extraction of Uranium Oxide (Yellow cake) – Note that different inputs are used in the cycle and include Mining Plant, Human resources, electricity and others Processing plant and its associated systems. Key Partners -Government as licencing and regulatory authority -Revenue Authority, Utility suppliers – Electricity & water -Market, all input supply in system, consultants, Banks -Plant manufactures and maintenance operatives.

Value Proposition Value Proposition - Value delivered to customer – internationally accepted standard yellow cake At agreed customized contract under a specific time frame, cost/price and in right amounts Ensuring that there is continued customer satisfaction at all times and maintenance of good rapport & relationship Channels Supply mainly to Canada and customer best reached by established communication, letters, etc Integrated through network and agreed operational systems, timely quality (independent) evaluation systems, Delivery to Canada every 3 months via Zambia & Namibia (Walvis Bay Port)

Revenue Streams & Cost Structure Revenue Streams – Customer willing to pay for internationally negotiated spot price. In this case paying for 2009 negotiated price. – Prefer to continue paying same though company intends to renegotiate new long term price. Cost Structure – Most inherent costs include – power, reagents, transport, expatriate human capital, intellectual property, management & infrastructure. – Most expensive resources – Diesel to generate electricity, mining and processing plant cost. – Most expensive activities – power generation, mining & processing, environmental monitoring & management.

Thank you for your attention, Obrigado, mercie