Iron Road Ltd · ASX:IRD
Iron Road — Global Iron Ore & Steel Forecast Conference 2013
22 slides from Iron Road's conference presentation, Mar 20, 2013
Slide 1: Long Life, High Quality Iron Ore Opportunity
For personal use only Long Life, High Quality Iron Ore Opportunity Global Iron Ore & Steel Forecast Conference 20 March 2013
Slide 2: Disclaimer
Disclaimer For personal use only Forward-Looking Statements This presentation contains forward looking statements concerning the projects owned by Iron Road Limited. Statements concerning mining reserves and resources may also be deemed to be forward looking statements in that they involve estimates
Slide 3: Iron Road's Vision
Iron Road’s Vision For personal use only Iron Road’s vision is to become a trusted and reliable supplier of premium iron concentrates to the Asian marketplace. 3
Slide 4: Iron Road's Strategy
Iron Road’s Strategy For personal use only Key to achieving this vision is IRD’s pathway to development that recognises current market constraints and utilises the common product specification of its two South Australian resource districts to enable a flexible development strategy. Central Eyre Iron
Slide 5: Central Eyre Iron Project
Central Eyre Iron Project For personal use only Large, long life project with an opportunity for an industry partner to finance and build infrastructure • Mineral Resources sufficient to support long life operation, plant and infrastructure funding requirements • Premium 67% Fe product for a growing
Slide 6: One Billion Tonnes of Concentrate
One Billion Tonnes of Concentrate For personal use only Significant growing resource base – underpins long life operation Exploration targets 3,000 • Current Mineral Resource- Mineral Resource Tonnage - millions 2.6 billion tonnes @ 16% Fe* 2,000 • Ultimate Mineral Resource is likely to be at the up
Slide 7: Iron Road's Natural Advantage
Iron Road’s Natural Advantage For personal use only Iron Road’s mineralisation has a natural advantage – the earth’s forces have done much of the hard work already Does not require pelletising Coarse grained, brittle rock Less impurities Iron Gneiss Easily processed 7
Slide 8: Iron Road's Natural Advantage
Iron Road’s Natural Advantage For personal use only CEIP Magnetite Gneiss Typical BIF Age Archean Proterozoic Geological history High grade metamorphism Low grade metamorphism Mineralogy Granular, low impurities Microcrystaline, impurities vary 1½mm average, crystalline sharp Magnetite grain Very fi
Slide 9: Premium Grades, Lower Processing Costs
Premium Grades, Lower Processing Costs For personal use only 72 EMG-Beyondie VMC-Yalgoo CEIP high grade (higher revenue) IRD-CEIP (40 micron) coarse grind (higher margin) 70 ARH-Balmoral IRD-CEIP (53 micron) Concentrate Grade - % iron AGO-Ridley IRD-CEIP (75 micron) GRR-Southdown 68 GBG-Karara CXM-B
Slide 10: Quality Product = Quality Margins
Quality Product = Quality Margins For personal use only 67% Fe • Concentrator delivers consistent 67% Fe over entire +30 year project life ~62% Fe • +30 year high value mine, expansion ~57% Fe potential • Steel mills will pay a quality differential $/t Gross for Iron Road concentrates Margins – Init
Slide 11: 2012 Seaborne Iron Ore Cost Curve – CFR China
2012 Seaborne Iron Ore Cost Curve – CFR China For personal use only • Current indications suggest CEIP position would be slightly to the right of the 50 percentile – lower 3rd quartile of CEIP today’s seaborne iron ore cost curve • CEIP product expected to receive a long term pricing of circa 14% ov
Slide 12: Economic and Competitive Advantages
Economic and Competitive Advantages For personal use only Mining Processing Rail Port Low strip ratio of 0.8:1 Common and proven Significantly shorter Sheltered, deep location mechanical process than Pilbara and with short jetty = reduced Brazilian routes capital cost 12
Slide 13: Rail
Rail For personal use only • Standard gauge heavy rail – 145km mine to port • Six trains per day each way, 11.5hr cycle • Twin rotary car dumper- 660,000t stockpile at port • If linked into wider national rail network – captures ~25% of Australian landmass 13
Slide 14: Deep Water Port
Deep Water Port For personal use only • East coast of Eyre Peninsula offers sheltered, deep water locations, no dredging or breakwater required • 1.6km modular jetty/wharf structure • 30Mtpa capacity at commissioning • Handymax, Panamax and Capesize capable • Ship loader 6,500tph, 65% utilisation at
Slide 15: Community Engagement
Community Engagement For personal use only • Iron Road is committed to taking its place as a member of the communities in which we operate • Investing in local social infrastructure – major sponsor and supporter of local community events • Extensive community programmes in place – now expanding to i
Slide 16: CEIP - Where We Are Now
CEIP - Where We Are Now For personal use only Mineral Resource Definitive Port site of supporting Approvals feasibility national 20 years of process well study well significance production underway advanced secured and still growing 16
Slide 17: Gawler Iron Project
Gawler Iron Project For personal use only Potential for small 1-2Mtpa development that may provide early sustaining cash flows • Average in situ grades ~25% iron, with higher grade zones of ~36% iron • Metallurgical study of several composite samples indicates excellent beneficiation characteristics
Slide 18: Gawler Conceptual Plant Layout
Gawler Conceptual Plant Layout For personal use only • Modular plant layout • Modules to be designed for rail transport. • Dry process flow sheet, minimal water required reducing costs • High quality iron concentrate with similar characteristics to that expected from CEIP 18
Slide 19: On the Road to Production
For personal use only On the Road to Production Subscribe to alerts online www.ironroadlimited.com.au
Slide 20: Appendices
For personal use only Appendices
Slide 21: Board & Management
Board & Management For personal use only Larry Ingle General Manager Management Alan Millet Infrastructure Manager Aaron Deans Project Manager Fop Vanderhor Project Manager, Gawler Peter Cassidy Non-executive Chairman Board Jeff Reilly Marketing Manager Julian Gosse Non-executive Director Laura John
Slide 22: CEIP Resource Statement
CEIP Resource Statement For personal use only Central Eyre Iron Project Global Mineral Resource Estimate Tonnes Fe SiO2 Al2O3 P LOI Location Classification (Mt) (%) (%) (%) (%) (%) Indicated 1,108 16.0 53.2 12.9 0.08 0.4 Murphy South Inferred 668 16 53 13 0.08 1.3 Boo-Loo Inferred 328 17 52 12 0.09
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