Sandfire Resources Ltd · ASX:SFR
Sandfire Resources — Sandfire Resources NL — Resources Rising Stars (September 2010)
22 slides from Sandfire Resources's conference presentation, Sep 29, 2010
Slide 1: The corridor of riches
The corridor of riches Opening the doors to the DeGrussa Mineral Field For personal use only Resources Rising Stars 28 September 2010
Slide 2: Important Information and Disclaimer
Important Information and Disclaimer 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 For personal use only Evans who is a Fellow of the Australasian Institute of Mining and
Slide 3: Introduction
Introduction World-class DeGrussa VMS copper-gold discovery: For personal use only Four high-grade deposits discovered since April 2009 Current JORC resource: 600,000t copper, 660,000oz gold, 5.1Moz silver Discovery cost to date of $0.02 per pound of copper $20-30M exploration program underway in 6k
Slide 4: Corporate Summary
Corporate Summary Issued Capital 131.5M ordinary shares* Board For personal use only 10.2M options DEREK LA FERLA – Non-executive Chairman Cash (September 2010) A$43 million* KARL SIMICH – Managing Director/CEO Major Shareholders* % W. JOHN EVANS – Executive Technical Director - Oz Minerals 19.7 - P
Slide 5: Genesis of A New Mineral Field
DeGrussa – Genesis of A New Mineral Field For personal use only One of Australia’s most significant new mineral discoveries Located 900km NE of Perth in a well- established mining area Dominant 400km2 tenement package in emerging Bryah Basin copper district 5
Slide 6: Location & Infrastructure
DeGrussa Project – Location & Infrastructure For personal use only Established mining district with excellent infrastructure: Great Northern Highway transects the tenement package Goldfields Gas Transmission Pipeline nearby Abundant fresh groundwater 6
Slide 7: Location & Infrastructure
DeGrussa Project – Location & Infrastructure 400km2 tenement For personal use only package Seven granted Exploration Licences and one 17km2 Mining Licence Application Dominant position in WA’s Bryah Basin – emerging VMS potential Focus of exploration to date has been on north-eastern portion of tene
Slide 8: The Corridor of Riches
The Corridor of Riches Four deposits For personal use only discovered to date within 1.5km strike: 10.67Mt @ 5.6% Cu, 1.9g/t Au, 15g/t Ag 600,000t Cu metal, 660,000oz gold, 5.1Moz silver Major exploration campaign underway across 6km priority corridor at DeGrussa: A$20-30M exploration budget
Slide 9: Four Deposits, 100,000m of Drilling, Months…
Four Deposits, 100,000m of Drilling, 15 Months… For personal use only 9
Slide 10: Phase III Mineral Resource
DeGrussa Project – Phase III Mineral Resource JORC compliant Mineral Resource estimate for DeGrussa, Conductor 1, Conductor 4 and Conductor 5 deposits: 10.67Mt at 5.6% copper, 1.9g/t gold and 15g/t silver For personal use only Reported above 1.0% Cu lower cut-off grade Tonnes Cu Au Ag Cu Au Ag (Mt)
Slide 11: An Unprecedented Exploration Push
An Unprecedented Exploration Push Intensive exploration For personal use only campaign underway on the remaining 4.5km Programs include Systematic deep drilling Down-hole EM 30amp surface EM in- fill survey Extensive 200amp surface EM survey over 10km strike length – underway Deep drilling 1,600- 2,
Slide 12: 3D Geological Model
DeGrussa Project – 3D Geological Model For personal use only
Slide 13: Current Status
DeGrussa Project – Current Status Phase III Resource completed (September 2010:) For personal use only 10.67Mt @ 5.6% Cu, 1.9g/t Au, 15g/t silver 600,000t Cu metal, 660,000oz gold, 5.1Moz silver Preliminary pit optimisations and design studies underway Encouraging results from initial metallurgical
Slide 14: Direct Shipping Operation
DeGrussa Project – Direct Shipping Operation Open pit optimisation and design scheduling For personal use only defines direct shipping material within the DeGrussa chalcocite resource: 151,000t @ 25.6% Cu, 2.6g/t Au, 21g/t Ag This material, containing ~39,000 tonnes of copper, to be extracted in ear
Slide 15: Key Components & Infrastructure
DeGrussa Project – Key Components & Infrastructure Open pit and underground mining operation For personal use only On-site concentrator Concentrate to be trucked to Geraldton for export Other supporting infrastructure to include: Gas and/or diesel-fired power station Borefield and pipelines Airstrip
Slide 16: Development
DeGrussa Project – Development For personal use only 16
Slide 17: Mineral Field – Regional Exploration
DeGrussa Mineral Field – Regional Exploration Dominant 400km2 tenement For personal use only package in emerging VMS field Multiple conductive features identified from ground-based EM surveys to follow up airborne VTEM targets completed in 2009 Priorities include coincident TEM and gravity targets W
Slide 18: Background on VMS Deposits
Background on VMS Deposits Volcanogenic massive sulfide (VMS) ore deposits are a type of metal For personal use only sulfide ore deposit (mainly copper, zinc and lead) created by volcanic- associated hydrothermal events in submarine environments D. F. Sangster from the Geological Survey of Canada co
Slide 19: Background on VMS Deposits
Background on VMS Deposits VMS districts analysed in the study are outlined in the table below For personal use only Another VMS example: Xstrata’s Kidd Creek Mine - in operation since 1966, expected to produce until 2017 at depths of approx. 2,900m Reported above 1.0% Cu lower cutoff grade Number o
Slide 20: McArthur Basin – A World-Class Mineral Province
McArthur Basin – A World-Class Mineral Province For personal use only 20
Slide 21: Borroloola Project
Borroloola Project +14,000sq km tenement position in For personal use only world-class NT mineral province Prospective for zinc-lead-silver deposits (McArthur River), manganese (Groote Eylandt), iron ore and uranium Recent agreement with Mineral Resources (ASX: MIN) to fund exploration and developme
Slide 22: Summary and Outlook
Summary and Outlook Rapidly growing VMS copper-gold project in WA For personal use only Unprecedented exploration & resource development program underway Definitive Feasibility Study commencing Q3 2010 Targeting direct shipping operation commencing 2011 and underground operations in 2012 Regional ex
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