Sheffield Resources Limited · ASX:SFX
Sheffield Resources — Diggers & Dealers Mining Forum 2016
19 slides from Sheffield Resources's conference presentation, Aug 1, 2016
Slide 1: Thunderbird: One of the World's Best Undeveloped Mineral Sands Projects
For personal use only Thunderbird One of the World’s Best Undeveloped Mineral Sands Projects Diggers & Dealers Mining Forum August 2016 ASX : SFX 1
Slide 2: Disclaimer
DISCLAIMER PREVIOUSLY REPORTED INFORMATION For personal use only This presentation includes information that relates to Exploration Results, Exploration Targets, Mineral Resources, Ore Reserves, a Pre-feasibility Study and Technical Studies which were prepared and first disclosed under the JORC Code
Slide 3: Corporate Snapshot
CORPORATE SNAPSHOT For personal use only ASX ISSUED EMPLOYEE SHARE PRICE MARKET CASH ENTERPRISE TOP TWENTY CODE SHARES OPTIONS (28 July 2016) CAP (UNAUDITED) 2 VALUE SHAREHOLDERS2 SFX 147.6M 8.7M A$0.62 A$92M A$5.0M A$87M ~43% (AVE.EX PRICE 48C) Price (AUD) Volume(k) $0.70 700.0 $0.65 600.0 $0.60 $0
Slide 4: Directors, Management & Register
DIRECTORS, MANAGEMENT & REGISTER For personal use only 3% 1% BOARD MANAGEMENT 11% 16% Will Burbury Bruce McFadzean Non-executive Chairman Managing Director Directors New Zealand Bruce McFadzean David Archer Managing Director Technical Director Retail Tasmania David Archer Mark Di Silvio Retail WA Te
Slide 5: Thunderbird Discovery to Production
THUNDERBIRD DISCOVERY TO PRODUCTION ASX listed For personal use only December 2010 Thunderbird Mineral Sands Tier 1 project From initial drill hole to BFS in 4 Years Targeting first production from Thunderbird early 2019 Potential Multi-decade (+40 year) operation First mover status in Canning Basin
Slide 6: Thunderbird - World Class Ore Reserve
THUNDERBIRD - WORLD CLASS ORE RESERVE For personal use only 10.00 TiO2 Grade Murray Basin (ILU) In Situ Titanium Minerals (Ilm+Lux+Rut) % 8.00 Richards Bay (RIO) Perth Basin (ILU) 6.00 Fairbreeze (TROX) Namakwa (TROX) QMM (RIO) Kwale (BSE) THUNDERBIRD (SFX) 4.00 Moma (KMR) Dongara (TROX) 2.00 Grand
Slide 7: Target Key Metrics
TARGET KEY METRICS For personal use only FINANCIALS PHYSICALS COST & PRICE FORECAST • Capital: <A$300M1 (US$220M) • Multi decade (>40 year) LOM • Targeting A$308/t C1 cost2 • <4 year payback • Low strip ratio 0.7:1.0 (LOM) • LOM Zircon price US$1371/t (~US$1,000 current) • A$12B gross revenue (LOM)
Slide 8: BFS Strategy
BFS STRATEGY KEY TARGETS For personal use only KEY DELIVERABLES COMMUNITY/EMPLOYMENT PERMITTING Targeting: Targeting: • Government support via • BFS Completion late 2016 • Local DIDO workforce “Lead Agency Status” from Department of Mines and • Targeting 7.5-10.0 Mt initial • Promotion of Aboriginal
Slide 9: BFS Update
BFS UPDATE KEY TARGETS For personal use only Tier 1 Engineering House HATCH managing the BFS delivery PROCESS TEST WORK LOW TEMP. ROAST OTHER • 40t bulk sample testing on • High-grade LTR Ilmenite • Mineral Resource Update full-scale and scalable (57.9% TiO2) produced from doubles Measured Resources
Slide 10: Thunderbird - World Class Deposit
THUNDERBIRD - WORLD CLASS DEPOSIT For personal use only • Thunderbird has a continuous High Grade Zone of up to 46m thickness • HG zone is surface outcropping in the northern part of the deposit • Deposit geometry and grade consistency favours large scale mining • Very low strip Ratio (<0.7:1:0) tar
Slide 11: Conventional Processing
CONVENTIONAL PROCESSING For personal use only Conventional heavy mineral sands processing circuit to deliver zircon, ilmenite, and HiTi88 products1 The process includes an ilmenite upgrade step using a low temperature roast (“LTR”) LTR upgrades the primary ilmenite by 22% to produce a high grade sul
Slide 12: Infrastructure & Logistics Potential
INFRASTRUCTURE & LOGISTICS POTENTIAL For personal use only TARGETED MINING & SITE INFRASTRUCTURE THUNDERBIRD SITE LAYOUT PLAN • Targeting initial 7.5mtpa dry mining capacity • Conventional dozer trap mining (eg. JA, Kwale) • Proposed mining to commence in shallow northern sector of deposit • WCP, MS
Slide 13: Regional Exploration Potential
REGIONAL EXPLORATION POTENTIAL NEW PROVINCE – MULTIPLE DISCOVERIES For personal use only New discoveries from limited scout drilling including the zircon rich Night Train prospect, significant results include1 7.5m @ 8.23% HM 12.0m @ 5.48% HM 7.5m @ 7.23% HM Night Train has a high value mi
Slide 14: Thunderbird Key Targets & Next Steps
THUNDERBIRD KEY TARGETS & NEXT STEPS1 TARGETS TARGETED NEXT STEPS For personal use only • Further reductions in capital 2016 • Secure exclusive port access completed • BFS – complete in 2016 • Appointment of BFS Study Manager completed • Native Title Agreement 2016 • 40t bulk sample met test work co
Slide 15: Key Investment Highlights
KEY INVESTMENT HIGHLIGHTS Tier 1, high grade, large scale mineral sands project For personal use only • Among the world’s largest and highest grade deposits • Located in the world’s best mining jurisdiction Well advanced asset – BFS underway • Updated PFS completed in late 2015, BFS underway wit
Slide 16: Thunderbird Deposit Ore Reserves
APPENDIX 1 THUNDERBIRD DEPOSIT ORE RESERVES1,2 For personal use only Valuable Heavy Mineral (VHM) in-situ grade In-situ HM Valuable HM Grade (In-situ)2 Ore Reserve Ore Tonnes HM Grade Slimes Osize Tonnes Zircon HiTi Leuc Leuc Ilmenite Category (millions) (%) (%) (%) (millions) % % % % Proved 115.1 1
Slide 17: Thunderbird Deposit Mineral Resource
APPENDIX 1 THUNDERBIRD DEPOSIT MINERAL RESOURCE1,2 Valuable HM Grade (In-situ)3 For personal use only Mineral Material In-situ HM Cut-off HM Grade Slimes Osize Resource Tonnes Tonnes Zircon HiTi Leuc Leuc Ilmenite (HM%) (%) (%) (%) Category (millions) (millions) (%) (%) (%) (%) Measured 510 45 8.9 0
Slide 18: Thunderbird High Grade Mineral Resource at 7.5% HM Cut-off
APPENDIX 2 For personal use only THUNDERBIRD HIGH GRADE MINERAL RESOURCE AT 7.5% HM CUT-OFF 31 JULY 2015 Mineral Resources 1 Valuable HM Grade (in situ) 2 Material HM Zircon HiTi Leuc Leucoxene Ilmenite Resource Mt % % % % % Measured 220 14.5 1.07 0.31 0.27 3.9 Indicated 640 11.8 0.90 0.28 0.25 3.3
Slide 19: Appendix 3: Product Assessment Study by TZMI
APPENDIX 3: PRODUCT ASSESSMENT STUDY BY TZMI HIGH QUALITY PRODUCTS For personal use only ZIRCON (60% OF REVENUE) • Primary zircon product meets the requirements for premium classification for use in the ceramic sector (80%) • Targeting combination of secondary and special zircon products into a sing
Sheffield Resources — Diggers & Dealers Mining Forum 2016 on 6ix