Zenith Minerals Limited · ASX:ZNC
Zenith Minerals — Zinc Co Australia — Shareholder Meeting (November 2010)
30 slides from Zenith Minerals's shareholder meeting presentation, Nov 25, 2010
Slide 1: Annual General Meeting – General Manager's Presentation
Zinc C Zi Co For personal use only Australia Limited ABN 96 119 397 938 Annual General Meeting 25 November 2010 General Manager’s Presentation
Slide 2: Disclaimer
Disclaimer For personal use only Forward looking statements Some statements in this presentation regarding estimates or future events are forward looking statements. statements They involve risk and uncertainties that could cause actual results to differ from estimated results. Forward-looking state
Slide 3: Zinc Co Australia Limited
Zinc Co Australia Limited For personal use only ASX code: d ZNC Issued shares: 73.9 million Market Cap: A$12.2m undiluted* Options: 1.05 million unlisted** Cash Sept 2010: A$1 79m A$1.79m Major shareholder: Giralia, 10.8% Source: http://www.asx.com.au/asx/research, 23 Nov 2010 * At 23/Nov/2010, SP 1
Slide 4: Zinc Co Project Locations
Zinc Co Project j Locations For personal use only Zn Fe Zn, Mn Zn
Slide 5: Progress since 2009/10 AGM
Progress g since 2009/10 AGM For personal use only IRON – Mt Alexander Exploration Target defined at Mt Alexander • 2 drilling programs completed • resource drilling program about to commence • scoping study underway MANGANESE - Earaheedy New manganese province discovered in the Earaheedy Basin • ac
Slide 6: Mount Alexander magnetite iron ore project
Mount Alexander magnetite g iron ore project p j For personal use only JORC Exploration Target* announced March 2010 : • 100% Zinc Co • 0.6 0 6 tto1.2 1 2 billi billion ttonnes att 25% tto 35% F Fe ((magnetite tit BBanded d d IIron F Formation) ti ) • The deposit outcrops as ridge up to 100m above s
Slide 7: Mount Alexander magnetite iron ore project
Mount Alexander magnetite g iron ore project p j For personal use only Structural repetition brings iron formation (pink) close to surface – potential for high tonnes per strike kilometre Prominent outcrop of iron formation in Exploration Target – potential for low mining stripping ratio
Slide 8: Potential concentrate product quality
Mount Alexander magnetite g iron ore project p j For personal use only Potential concentrate product quality •38 diamond drill core samples, January 2010 drilling • 8 metre composites, represent all BIF drilled •P80 -40 micron grind • Fe concentrate grade excellent • SiO2 concentrate g grade excelle
Slide 9: Comparison of Mt Alexander metallurgical performance
Mount Alexander magnetite g iron ore project p j For personal use only Comparison of Mt Alexander metallurgical performance* with published resource data from ht recovery Australian magnetite deposits weigh Fe Mt Alexander potential concentrate Fe e product quality – how does it compare for: • Weigh
Slide 10: Mount Alexander infrastructure
Mount Alexander magnetite g iron ore project p j For personal use only •NW Coastal National Infrastructure p potentially y accessible from Hwy 10km west Mt Alexander Project • Sealed roads to Onslow, Paraburdoo • Dampier Bunbury gas pipeline 35km west •API West Pilbara railway to Anketell Port – thi
Slide 11: Potential for additional resources
Mount Alexander magnetite g iron ore project p j For personal use only Potential for additional resources 14.8 km total strike BIF mapped Announced Exploration Target – 4.2km segment of total strike Mt Alexander West – 3.3km strike – drilled 2010 – supplementary resource Additional 5km strike of BIF
Slide 12: Mount Alexander Project Potential
Mount Alexander magnetite g iron ore project p j For personal use only Mount Alexander Project Potential Parameter Data/Expectation Size ((mine life)) Large g Primary Grade Good Weight recovery Good Stripping ratio Low Mining shape Compact G i d size Grind i N Normal l Concentrate quality Excellent
Slide 13: Resource drilling
Mount Alexander magnetite g iron ore project p j For personal use only Resource drilling g Drilling along north west margin of BIF 12 RC holes holes, 3000m Simple access for drilling Build on understanding from diamond drilling g in same location Test about one third of Exploration Target volume JOR
Slide 14: Scoping Study
Mount Alexander magnetite g iron ore project p j For personal use only Scoping p g Study: y Study Manager is Promet Engineers (completed magnetite studies on Karara, Southdown, Extension Hill)) Objective – identify the development strategy that will produce the best business outcome. Outputs • Proce
Slide 15: Mount Alexander project development plan
Mount Alexander magnetite g iron ore project p j For personal use only Mount Alexander project development plan to end March Quarter 2011: 1. Initial JORC compliant resource 2. Scoping study 3. Seek partner for development
Slide 16: Earaheedy
Earaheedy y For personal use only Zinc Co 100% Earaheedy Project acquired for zinc Zinc Co recognised manganese potential pote t a of o the t e west est Earaheedy a a eedy Basin as in 2010 New manganese g p province Zinc Co first mover, strong land position First drilling program for manganese compl
Slide 17: Why explore for manganese?
Earaheedy y Manganese g For personal use only Why explore for manganese? • Strong demand and no substitutes– an essential additive for steel, and steel production is rapidly increasing. • Large market, accessible to a new producer – major industrial metal, fourth most used metal after iron, aluminiu
Slide 18: Zinc Co land position
Earaheedy y Manganese g For personal use only Zinc Co land p position Manganese in the Western Earaheedy Basin is stratiform. Zinc Co discoveries are in the Karri Karri Member, Chiall Formation. Zinc Co has granted tenements, applications covering 75 strike kilometres of prospective stratigraphy
Slide 19: Lockeridge Prospect Drilling, Sept 2010
Earaheedy y Manganese g For personal use only Lockeridge Prospect Drilling, Sept 2010 17 RC drill holes completed, 1732m B N Shallow Sh ll north th dipping bed of manganese mineralisation Averages 10m thick Extends 1.2km down dip dip, 1 1.6km 6km A along strike Section AB next slide
Slide 20: Lockeridge drilling – cross section
Earaheedy y Manganese g For personal use only 1.6m @ 42.9% Mn Lockeridge drilling – cross section
Slide 21: Black and Blue Prospect
Earaheedy y Manganese g For personal use only Black and Blue Prospect p (100% Zinc Co) Another discovery of high grade manganese 100 km east of Lockeridge
Slide 22: Earaheedy Manganese strategy and 2010/2011 program
Earaheedy y Manganese g For personal use only • Lockeridge drilling shows that primary mineralisation is carbonate • High grade oxide is supergene enriched – weathering process upgrades manganese content 5 to 10 times • Lockeridge Prospect, Black and Blue Propspect show that manganese g mineralisati
Slide 23: Conquistador, Snake Well
Conquistador, Snake Well For personal use only Joint Venture with Giralia Zinc Co can earn up to 75% Giralia retains certain gold rights Located in Archaean Tallering Greenstone belt Two historical occurrences of high unit value volcanic hosted massive sulphide (VHMS) mineralisation VHMS deposits co
Slide 24: Conquistador, Snake Well
Conquistador, Co qu stado , Snake S a e Well e For personal use only Conquistador 4.0m @ 8.25% Zn 50 strike kilometres Kerbar 6.7m @ 6.0% Zn of p prospective p volcanics Predominantly under shallow cover Two VHMS prospects at A Zone, Conquistador A Zone 1 0m @ 4 1.0m 4.90% 90% Zn 2.1m @ 2.34% Zn Pot
Slide 25: Kerbar Prospect
Conquistador, q , Snake Well For personal use only Kerbar Prospect p L4 RAB line – drilled to define source of 2.6km Kerbar long IP/chargeability anomaly No previous drilling RAB intersected gossanous iron oxide ( ft sulphide) (after l hid ) over 200m width Maximum: 0.16% Cu 0.20% Zn 0 65 g/t Au 0.6
Slide 26: Kerbar Prospect – RAB Line L4
Conquistador, q Snake Well For personal use only Kerbar Prospect p – RAB Line L4 Gossanous iron oxide ZRAB038
Slide 27: Program for 2010/2011
Conquistador, q Snake Well For personal use only Program for 2010/2011 • additional RAB drilling to define size of system at Kerbar • RC/diamond exploration drilling, leading to resource drilling
Slide 28: Other Projects
Other Projects j For personal use only Cardinals (Zinc Co can earn 75%) • Volcanogenic massive sulphide prospect • Still potential for massive sulphide based on 2009 diamond drilling results • New N ttenementt E45/3449, E45/3449 100% ZNC ZNC, recently tl granted t d New projects • Review opportuniti
Slide 29: Program for 2010/11
Program g for 2010/11 For personal use only IRON – Mt Alexander •JORC Inferred Resource • Complete scoping study • Quantify economic potential, development strategy • Seek partner for development MANGANESE – Earaheedy • Drill target generation for high grade, shallow, supergene manganese – satellite
Slide 30: Zinc Co Australia Limited
Zinc Co Australia Limited For personal use only Mount Alexander Project, north west valley
Zinc Co Australia — Shareholder Meeting (November 2010) on 6ix