Bci Minerals Ltd · ASX:BCI
Bci Minerals — BC Iron — Rising Stars (September 2008)
26 slides from Bci Minerals's conference presentation, Sep 30, 2008
Slide 1: The Time, The Place, The Metal
For personal use only The Time The Place The Metal 30 September, 2008 Blair Duncan, General Manager of Operations
Slide 2: Forward Looking Statements
FORWARD LOOKING STATEMENTS For personal use only This release may include forward-looking statements. These forward-looking statements are based on management’s expectations and beliefs concerning future events. Forward-looking statements are necessarily subject to risks, uncertainties and other fac
Slide 3: Executive Summary
EXECUTIVE SUMMARY For personal use only ASX Listed Listing on ASX December 2006 to maiden resource March 2008 – 15 months Major shareholders Consolidated Minerals (Palmary) and Alkane Resources Cash on hand – circa $7.0M Nullagine Series of Channel Iron Deposits (CID) Project Positive Scoping Study
Slide 4: Executive Summary - Location
EXECUTIVE SUMMARY - Location For personal use only Project Locations Pilbara Region Nullagine Project Close to infrastructure 35 km north of Fortescue’s Christmas Creek Operation Bungaroo Creek Project Adjacent to Rio’s Bungaroo CID Greenfields project 4
Slide 5: Executive Summary - Location
EXECUTIVE SUMMARY - Location For personal use only 5
Slide 6: Executive Summary – Nullagine Project
EXECUTIVE SUMMARY – Nullagine Project For personal use only Bonnie Creek CID 28 Mt DSO 57% Fe (65% CaFe) 47 Mt CID at 54% Fe (60% CaFe) Plant site lies 35 km from Christmas Creek 5 DSO prospects - only two at JORC status Nullagine River CID Potential for satellite deposits DSO & upgrade CID (~5 Mt)
Slide 7: Executive Summary - Scoping Study
EXECUTIVE SUMMARY - Scoping Study For personal use only Scoping Study Completed on 3Mtpa direct ship ore (DSO) operation from 2010 ramping up to 5Mtpa CapEx (mine) A$85 million – OpEx A$42/tonne 2008 iron ore price increase +80% to 144 $US/dmtu ~$90/tonne Conceptual open pits contain 98% of the 28 M
Slide 8: Executive Summary - Corporate
EXECUTIVE SUMMARY - Corporate For personal use only Capital Structure Top Shareholders Number % Total Escrow Shares on issue Trading 35.4 Consolidated Minerals 15.6 26% Dec 2008 Restricted 24.0 Alkane Resources 9.0 15% Dec 2008 TOTAL 59.4 UBS Wealth Management 4.9 8.2% Options 5.7 1.75 TOTAL 24.6 49
Slide 9: Mineral Resource
BONNIE CREEK CID – Mineral Resource For personal use only Inferred Mineral Resource Estimate – March 2008 DSO Resource Estimate Prospect COG1 Zone Mt Fe CaFe SiO2 Al2O3 P S LOI1000 Outcamp 55.0 DSO 20.6 57.3 64.9 3.18 1.70 0.016 0.017 11.8 Coongan 55.0 DSO 7.4 57.8 65.5 2.39 1.86 0.013 0.017 11.8 TO
Slide 10: Peer Comparison
BONNIE CREEK CID – Peer Comparison For personal use only Other DSO Element/ BCI CID BHP CID RIO CID AQA CID AGO Deposits Compound Bonnie Ck Yandi Robe R W Pilbara Pardoo Fe 57.4 58.0 57.0 56.7 57.0 CaFe 65.1 64.2 62.8 62.1 62.5 SiO2 3.0 5.0 5.7 5.8 6.8 Al2O3 1.7 1.3 2.7 3.5 1.9 P 0.02 0.04 0.04 0.07
Slide 11: Outcamp Prospect
BONNIE CREEK CID – Outcamp Prospect For personal use only 801,000E 802,000E 803,000E 804,000E 805,000E 7,562,000N 7,561,000N Scale 500 m Outcamp Well 21 Mt at 57.3% Fe DSO Low strip ratio 0.8:1 Outcropping mineralisation 11
Slide 12: Outcamp Prospect
BONNIE CREEK CID – Outcamp Prospect For personal use only 801,000E 802,000E 803,000E 804,000E 805,000E 7,562,000N 7,561,000N 20 x vertical exaggeration 12
Slide 13: Outcamp Prospect
BONNIE CREEK CID – Outcamp Prospect For personal use only Conceptual ‘pit’ outline Inferred Resource Outcamp Well Zone Mt Fe CaFe SiO2 Al2O3 P S LOI Regional surface CID 35.9 53.5 61.3 5.03 3.34 0.017 0.018 12.7 DSO 20.6 57.3 64.9 3.19 1.72 0.016 0.017 11.8 Shallow “pits” mainly above surrounding pl
Slide 14: Surface Miner
BONNIE CREEK CID – Surface Miner For personal use only VERMEER TL1255 Terrain Leveler Drill & Blast not required Primary Crushing not required Mine Haul Trucks not required VERMEER TL1255 operating at Cloud Break (FMG) – photo by BC Iron 14
Slide 15: Warrigal Well Prospect
BONNIE CREEK CID – Warrigal Well Prospect For personal use only 807,000E 808,000E Warrigal Well CID ALL INTERSECTIONS Directly east of Outcamp Well FROM SURFACE Target 10 – 15 Mt DSO 11m @ 58.3% Fe 7,563,000N Up to 27 m intersection CID 13m @ 58.3% Fe 7.2 km combined length 11m @ 58.4% Fe Outcroppin
Slide 16: Project – Scoping Study
BONNIE CREEK CID PROJECT – Scoping Study For personal use only Scoping Study Infill Drilling 28 Mt at 57.4% Fe DSO (65.1% CaFe) ‘In Pit’ 27.7 Mt at 57.1 % Fe (65.1% CaFe) Target Production 3Mtpa 5 Mtpa Target 15- 20 Mt CapEx (mine) A$85M Infill Drilling Target OpEx $42/tonne 5 - 10 Mt Simple mine/cr
Slide 17: Project – Infrastructure Solutions
BONNIE CREEK CID PROJECT – Infrastructure Solutions For personal use only Short Term Strategy Rail Haulage and Port Access Agreement with Fortescue to be negotiated via existing MOU or “at market rates” utilizes available capacity during Fortescue’s production ramp up phase Rail Haulage Agreement wi
Slide 18: Project – Development Plan
BONNIE CREEK CID PROJECT – Development Plan For personal use only Timing Scoping Study Bonnie Creek CID Completed Baseline Environmental Surveys Commenced Infill drilling Completed Resource & Reserve Estimate Second Half 2008 Feasibility Study First Half 2009 Mining Agreements Second Half 2009 Minin
Slide 19: Shaw River CID Project
SHAW RIVER CID PROJECT For personal use only Shaw River CID Med grade CID 763,000E • High CaFe Detrital deposits Detrital • Low cost mining Potential source of upgradeable ore CID Simple to upgrade 764,000E 7,553,000N 7,554,000N 7,555,000N 19
Slide 20: Investment Opportunity
INVESTMENT OPPORTUNITY For personal use only Near Term Pilbara iron ore developer 100% project ownership - flexible off-take/marketing options Maiden JORC Resource – 28 Mt at 57.4% Fe ◦ 98% reports to ‘conceptual pits’ Exploration targeting an additional 30 Mt DSO Feasibility Study on 3 - 5Mtpa oper
Slide 21: Iron Ore Investors Checklist
IRON ORE INVESTORS CHECKLIST For personal use only “Fill in the blanks . . . . .” Iron Ore Investor’s Checklist COMPANY BC Iron Hematite Yes Simple ore body Yes Direct Shipping Ore Yes Low CapEx/OpEx Yes Simple infrastructure Yes Access to a port1 Yes Transport to port1 Yes Ship loading at port1 Yes
Slide 22: Blair Duncan, General Manager of Operations
For personal use only Blair Duncan, General Manager of Operations
Slide 23: Appendix – Channel Iron Deposits
APPENDIX – CHANNEL IRON DEPOSITS For personal use only Formation of CID Iron enrichment Iron bearing rock Steep terrain – rapid erosion Laterite Development Detritals Modern Creek Advanced erosion – channel fill Modern Day Erosion 23
Slide 24: Appendix – Channel Iron Deposits
APPENDIX – CHANNEL IRON DEPOSITS For personal use only Modern day channel - New Zealand 24
Slide 25: Appendix – Channel Iron Deposits
APPENDIX – CHANNEL IRON DEPOSITS For personal use only Shaw River Mesa 25
Slide 26: Appendix – Channel Iron Deposits
APPENDIX – CHANNEL IRON DEPOSITS For personal use only Iron ore Magnetite Original Assay Minerals Fe3O4 58% Fe & “CaFe” 72% Fe & 28% O 10% LOI Pellets Hematite Fe2O3 Sintering 70% Fe & 30% O Calcination Volatiles off 1400°C H2O C CO2 Lump / Fines LOI = Loss on ignition Goethite FeO(OH) 63% Fe & ~30%