Alkane Resources Ltd · ASX:ALK
Alkane Resources — NSW Mineral Exploration and Investment Conference 2007
37 slides from Alkane Resources's conference presentation, Aug 27, 2007
Slide 1: ASX cover letter: Presentation to NSW Mineral Exploration Conference
R ES O U RCES L TD AB N 3 5 0 0 0 6 8 9 2 1 6 For personal use only 27 August 2007 Manager Announcements Company Announcements Office ASX Limited 20 Bridge Street Sydney NSW 2000 Dear Sir, PRESENTATION Attached is a copy of a presentation to the NSW Mineral Exploration and Investment Conference. A c
Slide 2: Dubbo Zirconia Project
ALKANE RESOURCES LTD For personal use only ABN 35 000 689 216 Dubbo Zirconia Project NSW Mineral Exploration and Investment Conference DPI - MR Sydney 24 August 2007 www alkane com au www.alkane.com.au 1
Slide 3: Central West NSW Projects
For personal use only C Central l West W NSW Galwadgere Alkane copper deposit Projects Tomingley Gold Project Wyoming Development DZP Newmont JV 605,000oz g gold Dubbo Zirconia Project Major gold discovery McPhillamys 2006 Peak Hill 153,000oz production 2
Slide 4: Project Site and Infrastructure Location
DUBBO ZIRCONIA PROJECT For personal use only Project oject Site S te a and d Infrastructure ast uctu e Location ocat o 3
Slide 5: Geology
DUBBO ZIRCONIA PROJECT For personal use only G l Geology 0 200 metres 4
Slide 6: Geological Model: Basalt Flows and Sheets
DUBBO ZIRCONIA PROJECT For personal use only Geological Model JURASSIC Magma TRIASSIC Sediments SILURIAN - DEVONIAN volcanics and sediments 1. BASALT FLOWS & SHEETS 5
Slide 7: Geological Model: Composite Volcano
DUBBO ZIRCONIA PROJECT For personal use only Geological Model JURASSIC Magma TRIASSIC Sediments SILURIAN - DEVONIAN volcanics and sediments 2. COMPOSITE VOLCANO Trachytic tuff and lava cone 6
Slide 8: Geological Model: Trachyte Domal Phase
DUBBO ZIRCONIA PROJECT For personal use only Geological Model JURASSIC Magma TRIASSIC Sediments SILURIAN - DEVONIAN volcanics and sediments 3. TRACHYTE DOMAL PHASE 7
Slide 9: Geological Model: Intrusion of Mineralised Trachyte
DUBBO ZIRCONIA PROJECT For personal use only Geological Model JURASSIC Magma TRIASSIC Sediments SILURIAN - DEVONIAN volcanics and sediments 4. INTRUSION OF MINERALISED TRACHYTE 8
Slide 10: Geological Model: Erosion
DUBBO ZIRCONIA PROJECT For personal use only Geological Model JURASSIC Magma TRIASSIC Sediments SILURIAN - DEVONIAN volcanics and sediments 5. EROSION - Present day land surface 9
Slide 11: Photograph at the time of the eruption
DUBBO ZIRCONIA PROJECT For personal use only Photograph at the time of the eruption 10
Slide 12: Resources
DUBBO ZIRCONIA PROJECT For personal use only RESOURCES Measured Resource : 35.7 million tonnes grading 0 - 55 metres 1.96% Zr02, 0.04%HfO2, 0.14% Y2O3 0.46% Nb2O5, 0.03% Ta2O5 , 0.014% U3O8, and 0.75% REO Inferred Resource : 37.5 million tonnes at similar grades 55 - 100 metres TOTAL : 73.2 million
Slide 13: Ore Mineralogy
DUBBO ZIRCONIA PROJECT For personal use only ORE MINERALOGY eudialyte di l t ZrSiO Z SiO4 ± Ca, C Y Y, Zirconium < 2μm - 50μm armstrongite REE, H2O +?U yttrium silicates YSiO4 ± REE, Be, Yttrium < 50μm and with Zr Fe, As, Nb Niobium// NaNbO3 + Ta ? Th natroniobite < 30μm Tantalum also NbFeSiO4 calci
Slide 14: Ore Mineralogy: BSE image
DUBBO ZIRCONIA PROJECT For personal use only ORE MINERALOGY BSE image x 2300: REE-rich Zr-Si hosted within Zr-silicate Zr-silicate ANSTO March 2007 13
Slide 15: Ore Mineralogy: Nb mineral in Fe-Mn carbonate
DUBBO ZIRCONIA PROJECT For personal use only ORE MINERALOGY BSE image x 600: Nb mineral in Fe-Mn carbonate Nb in Fe-Mn carb ANSTO March 2007 Zr-silicate 14
Slide 16: Early Metallurgical Test Work 1999-2002
DUBBO ZIRCONIA PROJECT For personal use only E l Metallurgical Early M t ll i lT Testt W Work k 1999 - 2002 • Preliminary test work on HCl, HF, NaOH leaching, and H2SO4 roasting and leaching • Preliminary flotation to assess potential for pre-concentration • Scan of various physical separation proce
Slide 17: Process Flow Sheet
DUBBO ZIRCONIA PROJECT For personal use only PROCESS FLOW SHEET LKANE 16
Slide 18: Mini Pilot Plant - Roaster
DUBBO ZIRCONIA PROJECT For personal use only Mini Pilot Plant - Roaster 17
Slide 19: Mini Pilot Plant - SX Circuit
DUBBO ZIRCONIA PROJECT For personal use only Mini Pilot Plant - SX Circuit 18
Slide 20: Possible Product Suite
DUBBO ZIRCONIA PROJECT For personal use only Possible Prod Product ct S Suite ite Zirconium products ZBS Zirconium basic sulphate ZOH Zirconium hydroxide ZCO Zirconium carbonate Z O2 Zirconia ZrO Zi i ((calcined) l i d) Zirconium and hafnium metal Niobium - tantalum Nb2O5 niobium (+Ta) concentrate p
Slide 21: Current Zirconium Chemical Uses
DUBBO ZIRCONIA PROJECT For personal use only Current Zirconia Zirconium chemical Uses 2005 Consumption 96,000 tonnes 2010 E Estimated ti t d 126 000 ttonnes with 126,000 ith iindustry d t growth th rate t off 4 4.5%pa 5% High growth areas: Advanced ceramics and catalysts 13.0%pa Ceramic pigments 8 8
Slide 22: Why strategically significant?
DUBBO ZIRCONIA PROJECT For personal use only Why strategically significant? CURRENT Other O h Foundry ZIRCON 14% 2% USES Zirconia & Ceramics 50% Zr Chemicals 12% Global output TV Glass 8% 1 400 000 tpa 1,400,000 Refractory 14% Source: Iluka Oct 05 21
Slide 23: Zircon Supply / Demand Outlook
DUBBO ZIRCONIA PROJECT For personal use only Zircon Supply / Demand Outlook nnes) nes) 1600 600 Surplus / deficitt (’000s tonn d (’000s ton 500 1400 400 1200 300 200 1000 100 us / demand 800 0 -100 600 -200 400 -300 -400 200 Surplu -500 500 0 -600 2001 2011 2000 2003 2007 2008 2009 2010 2012 2002 20
Slide 24: Zirconium Chemicals Industry Structure and Market Entry
DUBBO ZIRCONIA PROJECT For personal use only Zirconium Chemicals ZIRCON / BADDELEYITE ELECTRIC ARC FURNACE Industry Structure and Market Entry CHEMICAL PROCESSING Points AZL “INTERMEDIATES” ZBS ZOC FUSED ZIRCONIA UPGRADING/CONVERSION UPGRADING/CONVERSION AZL “END USE” Upgrading Zr Doped ZBC ZOH ZBS
Slide 25: Niobium Industry Structure
DUBBO ZIRCONIA PROJECT For personal use only Schematic Illustration Metallurgical of Niobium Industry Structural steels Stainless and heat Structure resistant steels Pyrochlore FeNb Superalloys Super conducting magnets g Columbite Tantalite Nb 2O 5 Oxides Class Niobium Ceramics AZL Nb 35,000t – 90%
Slide 26: Yttrium - Rare Earth Market
DUBBO ZIRCONIA PROJECT For personal use only Yttrium - Rare Earth Market Y/REE’s 1991 - 30,000t 2006 - ~100,000t China 90% Catalyst/Chemicals 30% - auto and petroleum, fertilisers Metallurgical 35% - hsla steels, alloys, batteries Glass/Ceramics 15% - specialty glasses, stabilized zirconias, pigment
Slide 27: Project Site Layout
Dubbo Zirconia Project For personal use only Project j Site Layout y 26
Slide 28: Geology and Year Pit
DUBBO ZIRCONIA PROJECT For personal use only Geology G l & 20 Year Y Pit 0 200 metres Total open pit life + 200 years (base case) 27
Slide 29: Toongi rail siding and process plant site
Dubbo Zirconia Project For personal use only Toongi rail siding and process plant site 28
Slide 30: Bulk sample for Demonstration pilot plant
DUBBO ZIRCONIA PROJECT For personal use only October 2006 Bulk sample for Demonstration pilot plant 29
Slide 31: Demonstration Pilot Plant
DUBBO ZIRCONIA PROJECT For personal use only Demonstration Pilot Plant July 2007 21m 24m 30
Slide 32: Process Flow Sheet - Possible developments
DUBBO ZIRCONIA PROJECT For personal use only Process Flow Sheet – Possible developments Uranium Separated yttrium Nuclear power and HREE’s for speciality glasses, magnets, alloys, ceramics Zirconium and Niobium and hafnium metal tantalum for special alloys Thorium ?? Nuclear and special alloys Accle
Slide 33: Zirconium and Hafnium Metal
DUBBO ZIRCONIA PROJECT For personal use only ZIRCONIUM and HAFNIUM METAL ZIRCONIUM: sponge (~US$25-30/kg) Æ metal (~US$250/kg) Major uses: cladding in nuclear power plants plants, nuclear fuel rod tubing tubing, corrosion resistant piping, special alloys, super glass Consumption: 13,000 tonnes plus
Slide 34: DZP Probable Outputs
DZP Probable Outputs For personal use only Base case models of 200,000 to 500,000 tonnes per year throughput 9,000 to 22,500 tonnes of zirconium chemicals (3kt to 7.5kt zirconia equiv 1,000 1 000 to t 2,500 2 500 tonnes t off niobium-tantalum i bi t t l concentrate t t (0(0.6kt-1.5kt 6kt 1 5kt
Slide 35: Project Site Layout - Environmental Monitoring
Dubbo Zirconia Project Project Site Layout – Environmental Monitoring For personal use only z Noise Monitoring Site Dust Monitoring Site z z Water Monitoring Site z z z z z z z 34
Slide 36: Current Program
DUBBO ZIRCONIA PROJECT For personal use only C Current tPProgram AusIndustry Commercial Ready Grant of A$3.29M in April 2006 on dollar for dollar basis to complete process optimisations, and construct and opera Demonstration Pilot Plant (DPP). Laboratory program commenced at ANSTO (Lucas Heights) Ju
Slide 37: Moving Forward
ALKANE RESOURCES LTD For personal use only ABN 35 000 689 216 Dubbo Zirconia Project Moving Forward A world class project www.alkane.com.au a a e co au Zirconium sulphate crystals Disclaimer: This presentation contains certain forward looking statements and forecasts, including possible or assumed r
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