Sandfire Resources Ltd · ASX:SFR
Sandfire Resources — Shareholder Meeting (November 2012)
23 slides from Sandfire Resources's shareholder meeting presentation, Nov 27, 2012
Slide 1: Annual General Meeting 2012
For personal use only Annual General Meeting 2012 27 November 2012
Slide 2: Important Information and Disclaimer
Important Information and Disclaimer Forward-looking statements and Competent Person’s Statement Competent Person’s Statement • The information in this public presentation that relates to Exploration Results and Mineral Resources is based on information compiled by Mr John Evans who is a Fellow of F
Slide 3: Sandfire – Our Vision
Sandfire – Our Vision A mining company focused on shareholder returns • Deliver superior returns to our owners from the premier high- For personal use only grade DeGrussa VMS copper-gold mine • Discover additional VMS deposits within the emerging Doolgunna mineral field • Explore for, develop and mi
Slide 4: Corporate Snapshot
Corporate Snapshot Australia’s newest copper producer For personal use only Issued Capital 152.7M Shares, 8.6M options Board Derek La Ferla Non-executive Chairman Karl Simich Managing Director / CEO Market Capitalisation ~$1.3 billion W. John Evans Executive Technical Director Key Project DeGrussa (
Slide 5: Sandfire – Snapshot
Sandfire – Snapshot A position of strength and opportunity • Discovery to production: less than 3 years (2009 to 2012) For personal use only • Delivery of project milestones on time and on budget • Open pit operations and DSO shipments: underway • Plant commissioning and ramp-up: underway • Concentr
Slide 6: Sandfire – the Strategy
Sandfire – the Strategy A multi-pronged approach to building a leading diversified mining company For personal use only • DeGrussa Project • Targeting additional • Zinc-lead: NT • Copper-gold • Targeting quality VMS deposits/ • IOCG Cu-Au: QLD, exploration in Chile, assets which can • 77ktpa Cu, len
Slide 7: Sandfire – the Strategy
Sandfire – the Strategy A multi-pronged approach to building a leading diversified mining company For personal use only • DeGrussa Project • Targeting additional • Zinc-lead: NT • Copper-gold • Targeting quality VMS deposits/ • IOCG Cu-Au: QLD, exploration in Chile, assets which can • 77ktpa Cu, len
Slide 8: DeGrussa Project – Key Facts
DeGrussa Project – Key Facts Copper production underway and ramping up For personal use only Mining: Open pit + underground Mine Life: +7 years Processing: +1.5Mtpa on-site concentrator 10.72Mt @ 5% Cu, 1.7g/t Au Production: 541kt Cu, 599koz Au Open pit DSO 38kt Cu (25.6%), 12koz Au (2.5g/t) contain
Slide 9: DeGrussa – Mining & Production
DeGrussa – Mining & Production Q1 FY 2013 mining and production performance For personal use only Grade Grade Contained Contained Production statistics Tonnes (% Cu) (g/t Au) copper (t) gold (oz) Mined 86,089 27.1 2.6 23,355 7,225 DSO Crushed 70,796 29.9 2.4 21,181 5,542 DSO Sales 40,660 28.4 2.5 11
Slide 10: The Case for Copper
The Case for Copper The outlook for copper remains extremely robust… Copper has one of the most impressive demand trajectories of all For personal use only But supply remains challenged due to declining grades and mine metals, driven by urbanisation, China’s ongoing growth and the closures electrifi
Slide 11: The Case for Copper – DeGrussa among the highest grade mines
For personal use only Page: 11 (%) Grade¹ Reserve Source: AME, company disclosures Doolgunna (Sandfire) 5.10% Casino (Western Copper) Santo Domingo (Kores) 1 Resource grade shown for projects with no disclosed reserves Constancia The Case for Copper (Hudbay) Rosemont (Augusta) 0.20% 0.32% 0.39% 0.44
Slide 12: Sandfire – the Strategy
Sandfire – the Strategy A multi-pronged approach to building a leading diversified mining company For personal use only • DeGrussa Project • Targeting additional • Zinc-lead: NT • Copper-gold • Targeting quality VMS deposits/ • IOCG Cu-Au: QLD, exploration in Chile, assets which can • 77ktpa Cu, len
Slide 13: DeGrussa – “Corridor of Riches”
DeGrussa – “Corridor of Riches” Minimal exploration conducted along +30km prospective corridor For personal use only • VMS mineralising environment confirmed over +30km long, 1.2km wide corridor • Minimal exploration below 100m: host sequence at depth still to be explored • DeGrussa deposit extends
Slide 14: DeGrussa Exploration
DeGrussa Exploration $20M exploration budget to discover additional high-value VMS copper-gold deposits at Doolgunna • Systematic and scientific approach For personal use only • Extensive regional drilling to define prospective VMS sequences • Re-logging and spectral scanning to define alteration sy
Slide 15: Sandfire – the Strategy
Sandfire – the Strategy A multi-pronged approach to building a leading diversified mining company For personal use only • DeGrussa Project • Targeting additional • Zinc-lead: NT • Copper-gold • Targeting quality VMS deposits/ • IOCG Cu-Au: QLD, exploration in Chile, assets which can • 77ktpa Cu, 36o
Slide 16: Australian Regional Exploration
Australian Regional Exploration Extensive portfolio with a focus on discovering Tier One deposits • Reviewing high-quality, asset-driven exploration For personal use only opportunities in Australia • Focus outside Doolgunna is on IOCG copper-gold, porphyry-style copper-gold and lead-zinc-silver • $5
Slide 17: Sandfire – the Strategy
Sandfire – the Strategy A multi-pronged approach to building a leading diversified mining company For personal use only • DeGrussa Project • Targeting additional • Zinc-lead: NT • Copper-gold • Targeting quality VMS deposits/ • IOCG Cu-Au: QLD, exploration in Chile, assets which can • 77ktpa Cu, len
Slide 18: International Exploration and Business Development
International Exploration and Business Development Focused team seeking opportunities globally • Targeting high quality, asset-driven opportunities For personal use only • Projects with genuine potential to add value • Strong focus in South America • Copper-gold, gold, base metals • In-house Busines
Slide 19: Sandfire Summary
Sandfire Summary Australia’s newest copper producer entering its next chapter of growth For personal use only • DeGrussa Project now in production • Concentrator commissioning underway • High-margin production profile • Exceptional cash flow • Exploration to establish a VMS copper-gold camp • Qualit
Slide 20: Annual General Meeting 2012
For personal use only Annual General Meeting 2012 27 November 2012
Slide 21: Appendix: Competent Person’s Statements
Appendix: Competent Person’s Statements Competent Person’s Statement – Mineral Resources • The information in this report that relates to Mineral Resources (except the Indicated Resource of Supergene Chalcocite) is based on information compiled by Diederik Speijers who is a Fellow of the Australasia
Slide 22: Appendix – DeGrussa: Mineral Resources
Appendix – DeGrussa: Mineral Resources Table 1: DeGrussa Copper-Gold Project – Mineral Resource Statement as at 31 March 2012 For personal use only Resource Tonnes Copper Contained Contained Competent Gold (g/t) Zone - in situ Category (mt) (%) Copper (t) Gold (oz) Person Au Laterite Measured 0.04 0
Slide 23: Appendix – DeGrussa: Ore Reserves
Appendix – DeGrussa: Ore Reserves Table 2: DeGrussa Copper-Gold Project – Ore Reserve Statement as at 31 March 2012 For personal use only Tonnes Copper Gold Contained Contained Deposit Reserve Category Mining Method (Mt) (%) (g/t) Copper (t) Gold (oz) Laterite Gold Proved Open Pit 0.10 - 3.0 - 9,000
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