Rox Resources Ltd · ASX:RXL
Rox Resources — Wholesale Investor Conference 2010
29 slides from Rox Resources's conference presentation, Nov 5, 2010
Slide 1: Presentation at Wholesale Investor Conference
ASX/MEDIA RELEASE 5 November 2010 For personal use only PRESENTATION AT WHOLESALE INVESTOR CONFERENCE Please find attached the presentation to be made by Managing Director, Mr Ian Mulholland at noon on Friday 5th November 2010 at a Wholesale Investor Conference in Perth. - ENDS - For More Informatio
Slide 2: An Excellent Investment Opportunity
ASX: RXL For personal use only ROX RESOURCES LIMITED An Excellent Investment Opportunity Ian Mulholland, Managing Director Company Update, November 2010
Slide 3: Competent Person Statement
For personal use only Competent Person Statement The information in this report that relates to Exploration Results and Mineral Resources is based on information compiled by Mr Ian Mulholland BSc (Hons), MSc, FAusIMM, FAIG, FSEG, MAICD, who is a Fellow of The Australasian Institute of Mining and Met
Slide 4: Rox Strategy
For personal use only Rox Strategy • Potentially large projects • Favourable locations • Always looking for opportunities • No specific commodities, but favour gold & base-metals • Must be fundable
Slide 5: Project Locations
Project Locations For personal use only Myrtle Zinc • Current resource contains >2Mt Marqua Zn+Pb metal Phosphate • Potential for major zinc deposit, just • Surface samples 20km from up to 39% P2O5 established mine • Drilling results • $15M JV with Teck include 6m @ Resources 19.9% P2O5, and 5m @ 23
Slide 6: Myrtle Zinc Project
For personal use only Myrtle Zinc Project • Location P • Geology P • JORC Resource P • Metallurgy P • Infrastructure P • $15M Joint Venture P
Slide 7: Myrtle Location
Myrtle Location For personal use only • Halfway between • Located on Darwin and Mt Isa McArthur River pastoral lease, • 700km by air, 900km by owned by Xstrata – road from Darwin limited Native Title • 20km south of world implications class McArthur River • NT Government Pb-Zn mine (3% of the most h
Slide 8: Joint Venture
For personal use only Joint Venture • Teck is world’s 2nd largest Zinc producer production expertise • Financial strength long term funding for project • Minimum spend of $1M, including 2,000 metres of drilling (will be completed in 2011) • $15M to earn 70% over 8 years (i.e. ~ $2M/year) • $5M t
Slide 9: Geology
Geology For personal use only • SEDEX (Very Large) style Pb-Zn deposits • World class McArthur River mine 20km • Rox now owns 100% of 669 km2 tenement area • Host rocks form a series of sedimentary basins prospective for more discoveries
Slide 10: Current Resource
Current Resource For personal use only • 43.6 Mt @ 4.1% Zn, 0.9% Pb* (3% Zn+Pb cut-off) • Indicated 5.8 Mt @ 3.6% Zn, 0.9% Pb • Inferred 37.8 Mt @ 4.2% Zn, 1.0% Pb • 2.2 Mt contained Zn + Pb metal (4.8 B lbs) • 15.3 Mt @ 5.5% Zn, 1.4% Pb* (5% Zn+Pb cut-off) • Indicated 1.2 Mt @ 5.4% Zn, 1.4% Pb • In
Slide 11: Resource Ranking
Resource Ranking For personal use only Sedex Deposits Size-Grade Relationship • Sedex Deposits are >50% 100.0 of world’s Zn reserves McArthur River Broken Hill Target • Only 15 Sedex deposits Rampura -Agucha worldwide (out of 136) are 10.0 >10 Mt contained Pb-Zn Pb+Zn (Mt) Jinding Gamsberg • Myrtle
Slide 12: Myrtle Basin Potential
Myrtle Basin Potential For personal use only
Slide 13: Myrtle Basin Potential
Myrtle Basin Potential For personal use only High Grade Target Current Resource More laminated IP Anomalies style MY20 MY16 MY17 MY10 Strong Nodular Carbonate style High Grade Target
Slide 14: Metallurgy
Metallurgy For personal use only • Only Preliminary at this stage, not optimised Encouraging Initial Flotation Results • Good recoveries of Zinc 53um and Lead Bulk Metal Recovery - Combined Results • Separate zinc and lead 100 concentrates possible 80 Metal Recovery % • More test work needed 60 40 2
Slide 15: Myrtle Infrastructure
Myrtle Infrastructure For personal use only Tailings Dam Bing Bong • Close (20km) to Port McArthur River mine • Sealed road to Darwin McArthur (900km) River Mine • Gas pipeline Treatment Plant • Major Airport Village • Teck is a JV partner with Xstrata elsewhere Gas Pipeline Airstrip Myrtle McArthur
Slide 16: Myrtle Infrastructure
Myrtle Infrastructure For personal use only • Close (20km) to McArthur River mine • Sealed road to Darwin (900km) • Gas pipeline • Major Airport • Teck is a JV partner with Xstrata elsewhere • Bing Bong Port and Ship Loader (120km north)
Slide 17: Exploration Potential
Exploration Potential For personal use only Berjaya • Early (1960’s) drill BJ1: 0.6m @ 4.6% Zn holes (MY1 & 2) were11m @ 0.87% Zn PP4: 5.7m @ 1.2% Zn drilled short of target Buffalo Lagoon BF1: 6m @ 3.22% Pb • Anomalous Zn values 10m @ 0.42% Zn in holes MY1 & 2 led to follow-up by Anglo in 2004-2005
Slide 18: Giant Zn Deposits - Australia
Giant Zn Deposits - Australia For personal use only Deposit Owner Mt Mt Ore Pb+Zn Broken Hill Perilya, CBH 280 51.8 (BHP) McArthur River Xstrata 227 30.4 Mount Isa Xstrata 150 19.5 Hilton Xstrata 120 20.3 George Fisher Xstrata 107 17.7 Myrtle (target) Rox 100-120 10-12 Century MMG 95 14.1 Dugald Riv
Slide 19: Marqua Phosphate Project
For personal use only Marqua Phosphate Project • Location P • Geology P • Ore Grade Drill Intercepts P • Multiple Prospects P • Large Land Position P
Slide 20: Marqua Location
Marqua Location For personal use only • 450 km ENE of Alice Springs • Adjacent to NT-QLD border • Gravel road access from Alice Springs (and through to Mt Isa) • Located on pastoral leases – limited Native Title implications • 350 km from Mt Isa and 250 km from Phosphate Hill mine in QLD
Slide 21: Georgina Basin, NT
Georgina Basin, NT For personal use only • Georgina Basin is the main hard rock phosphate province in Australia (~86% of Australia’s phosphate resources) • Only operating mine is at Phosphate Hill (QLD) @ 2 Mtpa • Other advanced phosphate projects are Wonarah ,Paradise and D-Tree • Marqua Phosphate
Slide 22: Marqua Project
Marqua Project For personal use only 20 km NT-QLD Border 3m @ 16.9% P2O5 5m @ 23.7% P2O5 3m @ 21.0% P2O5 5m @ 26.1% P2O5 Previous Exploration Rox Tenements •Rock chips (up to 39% P2O5) Pegged in August •Soil Sampling 2010 •Air core drilling
Slide 23: Foss Hill Traverse
For personal use only Foss Hill Traverse
Slide 24: Opportunities
For personal use only Opportunities • New Phosphate Area P • Identify Significant Resource P • Access to Infrastructure P • Regional Context P • Investigate base-metal potential P
Slide 25: Company Snapshot
Company Snapshot For personal use only ASX Code: RXL Issued Shares: 248,549,061 Market Cap: $19.9 million (at 8 cents) Options: 2,000,000 $0.35 30 Nov 2010 Unlisted 30,160,238 $0.10 30 June 2011 Listed RXLO 33,364,983 $0.015 31 July 2011 Listed RXLOA 5,000,000 $0.038 26 Sep 2012 Unlisted Cash: (at 3
Slide 26: Share Price
Share Price For personal use only Rox Share Price 2 November 2009 to 29 October 2010 $0.14 200,000,000 Announce $0.12 $15 million JV with Teck 150,000,000 $0.10 Announce $0.08 deal with Rio 100,000,000 to remove Share Price $ Volume $0.06 $1/tonne $0.04 payment 50,000,000 $0.02 $0.00 0 02-Dec-09 28-
Slide 27: Peer Comparison
Peer Comparison For personal use only Enterprise Value per Tonne of Zn Equiv Resource 200.0 But doesn’t take value Producer 153.5 160.0 of Phosphate project Developer EV/t Zn Resource $/tonne 124.8 121.7 into account Explorer 120.0 80.0 79.2 78.0 70.0 Rox = 18.3 56.5 44.3 40.0 33.9 29.8 25.7 21.1 18
Slide 28: Summary
Summary For personal use only Excellent Investment Opportunity • Projects in known areas for world class deposits • Still relatively poorly explored Myrtle • Funding secured with major zinc company • High grade targets ready to be tested by drilling • Large mineral resource and will get bigger • Myr
Slide 29: Thank You!
Thank You! For personal use only Ian Mulholland Managing Director Rox Resources Limited Level 1, 30 Richardson St, West Perth WA 6005 Australia Ph: +61-8-6380-2966 www.roxresources.com.au