Slide 1: Diatreme Resources: Zircon and Copper, Discovery to Bankable and Beyond
For personal use only DIATREME RESOURCES Zircon and Copper Discovery to Bankable and Beyond November 2012
Slide 2: Statements
Statements For personal use only This presentation contains certain forward‐looking statements and forecasts which include without limitation, expectations regarding future performance, exploration, mineral resources, the financial position of Diatreme Resources Limited (the “Company”), industry gro
Slide 3: Diatreme Resources Limited: A Snapshot
Diatreme Resources Limited For personal use only A Snapshot Copper, Gold, Base Metals Rosevale Porphyry Clermont, Central Queensland 100% Equity (Antofagasta Minerals earning 60%) •10x3km Porphyry Cu Au System •Affinities to Cadia / Ridgeway Geology •Deep Diamond Core Drilling 700 to 900m planned (G
Slide 4: Diatreme Board
Diatreme Resources Limited For personal use only Diatreme Board David Hall, George White, William Wang, Tony Fawdon, Andrew Tsang, Neil McIntyre 4
Slide 5: Investment Fundamentals
Investment Fundamentals For personal use only Zircon & DRX Dynamics •Mineral Sands sector commanding attention with demand driven by urbanisation and wealth. •Emerging supply shortfall of Zircon worldwide. •No relief of zircon short supply on the horizon. •Massive imbalance between current share pri
Slide 6: Zircon Supply / Demand Analysis
Zircon Supply / Demand Analysis For personal use only TZMI 6
Slide 7: Cyclone Deposit, Eucla Basin, Western Australia
CYCLONE DEPOSIT For personal use only EUCLA BASIN WESTERN AUSTRALIA
Slide 8: Location - Eucla Basin
Location ‐ Eucla Basin For personal use only •The Cyclone Deposit is in the highly prospective Eucla Basin • Eucla Basin known for very high value mineral sand deposits including Iluka’s Jacinth‐Ambrosia Project. • Single underlying landowner who is committed to development. • Port options by standa
Slide 9: Peer Comparison for Cyclone
Peer Comparison for Cyclone For personal use only US$/t General resource value US$/t (Developers) 16.00 14.00 Lowest 12.00 10.00 8.00 6.00 4.00 2.00 0.00 SFX MRC MDL GUN PFP WTR MZI BSE DRX ATR IMA 9
Slide 10: Peer Comparison for Cyclone
Peer Comparison for Cyclone For personal use only 10
Slide 11: Peer Comparison for Cyclone
Peer Comparison for Cyclone For personal use only 11
Slide 12: Cyclone Project Financials – PFS
For personal use only Cyclone Project Financials – PFS Capital Investment (including PFS & DFS) AUD$223 Million Average Annual Sales Revenue AUD$191 Million Average Annual Operating Costs AUD$88 Million Average Annual Tax Payable AUD$24 Million Average Annual Operating Cash Flow After Tax AUD$78 Mil
Slide 13: Cyclone Project Timeline
Cyclone Project Timeline For personal use only Schedule Date Pre‐Feasibility Study Completed ‐ March 2012 Definitive Feasibility Study Q2 2014 Project Financing Q3 2014 Construction & Development 2014‐2015 Mining & Production 2015 13
Slide 14: Cyclone Mining Stats
Cyclone Mining Stats For personal use only Strip Ratio 1.1 : 1 Mining Rate (Dry) 1,300 tonnes per hour – 2 x Dozer traps Mine Site 26 Tonnes / Hour Wet Concentration Plant Product 147,000 Tonnes PA @ 98.5% Concentrate Transport ‐ Road 240km ‐ 4 trucks x 110 tonnes to Forrest. Transport ‐ Rail 1,000k
Slide 15: Cyclone Products
Cyclone Products For personal use only Zircon: 65,000 tonnes per year ZrO2 % FE2O3 % SiO2 % Al2O3 % TiO2 % P2O5 % U+Th CeO2 % ppm 66.0 0.10 32.8 0.20 0.31 0.07 369 0.020 HiTi87: 10,000 tonnes per year TiO2 % FE2O3 SiO2 % Al2O3 ZrO2 MgO MnO CaO % CR2O3 U+Th % % % % % % ppm 86.6 2.6 5.0 1.01 3.3 0.04
Slide 16: Cyclone Mining Lease Application
Cyclone Mining Lease Application For personal use only 16
Slide 17: Cyclone Deposit – 3D
Cyclone Deposit – 3D For personal use only 17
Slide 18: Proposed Mining Methods
Proposed Mining Methods For personal use only 18
Slide 19: Mining Operations
For personal use only Mining Operations 19
Slide 20: Wet Concentration Plant
Wet Concentration Plant For personal use only CYCLONE 20
Slide 21: Transport Options
Transport Options For personal use only CYCLONE 21
Slide 22: Clermont Project – Copper, Gold
Clermont Project – Copper, Gold For personal use only 22
Slide 23: Clermont - Prospects
Clermont ‐ Prospects For personal use only Antofagasta Minerals SA Earning up to 60% 23
Slide 24: Clermont
Clermont For personal use only PalmTrees Gold Field •Gold Bearing Quartz Reefs & Fe Quartzites 5 x 6 km in extent. •Reconnaissance rock chip samples assays of between 12.7 to 51.4 g/t gold. •Previous drilling in the area intercepts of: – 10m @ 24.5g/t Au from 17m in hole (including 1m at 233.5 g/t A
Slide 25: Clermont - Projects
Clermont ‐ Projects For personal use only Leo Grande Fault derived Gold Lodes 25
Slide 26: Clermont – Peak Downs
Clermont – Peak Downs For personal use only Copper Rich Zone 26
Slide 27: Clermont - Rosevale
Clermont ‐ Rosevale For personal use only Elektra prospect Malachite and azurite hosted in small faults in the Consols-Hillview-Gollan Heights fault corridor 27
Slide 28: Gilbert River
For personal use only Gilbert River 28
Slide 29: Gilbert River
Gilbert River For personal use only Ortona Prospect Ortona Prospect The Castle Prospect 29
Slide 30: DRX Corporate Details
DRX Corporate Details For personal use only DRX—Capital Structure Management Position Directors Position Shares on Issue 442 Million Options on Issue (ex Sept 2013 @ $0.15) 88.7 Million Tony Fawdon Executive Chairman / Phil McMurtrie Cyclone Project Share Price (as at 25/10/2012) A$0.025 CEO Manager
Slide 31: Diatreme Resources: Zircon and Copper
For personal use only DIATREME RESOURCES Zircon and Copper Discovery to Bankable and Beyond November 2012