Talon Metals Corp. · TSX:TLO
Talon Metals — Investor Presentation (October 2014)
21 slides from Talon Metals's investor presentation, October 2014
Slide 1: Trairão Iron Project & Inajá South Iron Project
Trairão Iron Project & Inajá South Iron Project October 2014 Para State, Brazil www.talonmetals.com TSX: TLO
Slide 2: Forward Looking Information
Forward Looking Information This presentation contains certain “forward-looking statements”. All statements, other than statements of historical fact that address activities, events or developments that Talon Metals Corp. (the “Company” or “Talon”) believes, expects or anticipates will or may occur
Slide 3: Experienced Management Team with a Track Record Of Project Delivery
Experienced Management Team with a Track Record Of Project Delivery Warren Newfield • Founded Platexco (platinum exploration) in 1997, sold to Impala in 2000 for C$191MM (Executive Chairman) • Founded AfriOre Ltd. (platinum exploration) in 2001, sold to Lonmin in 2007 for C$496MM • Founded CIC Energ
Slide 4: Vision: Trairão Iron Project
Vision: Trairão Iron Project • Current focus: Lump and sinter production to supply local markets, with the potential to supply export markets once announced infrastructure improvements are completed • Longer-term focus: Large-scale pellet feed and/or pellet producer Premised upon completion of
Slide 5: Brazil is the 3rd Largest Iron Ore Producer in the World
Brazil is the 3rd Largest Iron Ore Producer in the World • Brazil produced 398-million tons of iron ore in 2013 • Iron ore accounts for 13% of BRAZIL Brazil’s export value (with about half going to China) • Brazil is the world’s 9th largest steel producer • Government has committed to making major i
Slide 6: Located In Pará State
Located In Pará State • Pará State is home to Vale’s Carajás Mine, which is the world’s largest iron ore mine • Trairão is 280km South- West of the Municipality of Marabá, and 160km South-West of Vale’s Carajás Mine Stat 6
Slide 7: Geological Setting
Geological Setting • Stratigraphy lies within the Serra da Seringa Archean Age Greenstone Belt • Iron Mineralization is hosted by the 2.9-billion year old Tucumã Group: Dominated by mafics and volcano- sediments at its base; and Carbonate meta-sediments and banded iron formations in its upper se
Slide 8: Physiography & Geomorphology
Physiography & Geomorphology • Trairão ridge ranges from 420m above sea level at the base up to an elevation of 750m at the top • Main ridge strike is 18km, with flat summit ranging between 200m to 900m 8
Slide 9: Diamond & RC Drilling Completed
Diamond & RC Drilling Completed 9 Please see the technical reference on slide 21 of this presentation
Slide 10: Deposit Stratigraphy
Deposit Stratigraphy • Fe content increases from Fresh Rock to Surficial • Aluminum decreases from Surficial to Fresh Rock • Low Phosphorous Schematic for illustrative purposes only 10
Slide 11: Exploration Results
Exploration Results Indicated Tonnes Inferred Tonnes (millions) 1 (millions) 1 84 77 345 182 599 975 353 Surficial Deposit Saprolite Saprock Surficial Deposit Saprolite Saprock Fresh Rock Type Fe (%) SiO2 (%) Al2O3 (%) P (%) Type Fe (%) SiO2 (%) Al2O3 (%) P (%) Surficial 42.0% 18.3% 12.7% 0.053% Sur
Slide 12: Metallurgical Testing
Metallurgical Testing • Positive metallurgical results for the Fresh Rock announced in November 2012 • Metallurgical tests confirmed excellent product results from the sub-vertical BIF • Concentrate grades averaged approximately 69% Fe for the Quartz- Magnetite BIF and 67% Fe for the Magnetite-Rich
Slide 13: Potential Near-Term Cash Generation
Potential Near-Term Cash Generation • Current focus is on a potential local direct shipping ore (DSO) operation • Talon has signed an LOI with a potential local off-taker for lump and coarse sinter material • Exploration program currently underway to delineate a lump and coarse sinter resource 13
Slide 14: Local Development and Employment
Local Development and Employment Priorities for Talon: • Provide environmentally and socially responsible local smelters with long term sustainable iron feed • Support local industry with much needed employment and community development 14
Slide 15: Potential Pellet Feed and/or Pellet Project
Potential Pellet Feed and/or Pellet Project • Infrastructure development has not advanced at the necessary rate to coincide with the development of a pellet project at Trairão • However, there have been positive announcements from various levels of Brazilian government that infrastructure developmen
Slide 16: Infrastructure Developments (Pellet)
Infrastructure Developments (Pellet) • Studies commissioned on the construction of a new railway line that would run near Trairão Extension of Norte-Sul Railway (~800km) • Port of Vila do Conde is being expanded to facilitate Panamax vessels New Rail to Norte-Sul Railway (~300km) 16
Slide 17: Inajá South Iron Project
METALS CORP INAJA SOUTH IRON PROJECT
Slide 18: Inajá South Regional Iron Formations
Inajá South Regional Iron Formations Trairão Inajá South 18
Slide 19: Inajá South Progress To Date
Inajá South Progress To Date • Mapping and trenching completed • Initial drilling campaign completed • Preliminary metallurgical tests produced high quality pellet feed product, using cost effective flotation with good recoveries (67% Fe at 79% recovery) 19
Slide 20: Talon Corporate
Talon Corporate TSX TLO Issued Shares 92.1M Fully Diluted Shares 106.3M (as of Sept 30, 2014) SECURITIES AND ROYALTIES: 14.2M shares in Tlou Energy (ASX:TOU) (Free trading – April 2015) Receive up to US$3M from royalty on the Boikarabelo Coal Mine in South Africa owned by Resource Generation (ASX: R
Slide 21: Technical Reference
Technical Reference Mike Shaw, Vice President, Exploration of Talon, is a Qualified Person within the meaning of National Instrument 43-101 (“NI 43-101”). Mr. Shaw has reviewed, approved and verified the technical information disclosed in this presentation (other than the mineral resource estimates)