Sheffield Resources Limited · ASX:SFX

Sheffield Resources — Shareholder Meeting (November 2014)

20 slides from Sheffield Resources's shareholder meeting presentation, Nov 27, 2014

  1. Slide 1: Annual General Meeting 27 November 2014

    + For personal use only SFX Annual General Meeting 27 November 2014

  2. Slide 2: Disclaimer

    + For personal use only Disclaimer . PREVIOUSLY REPORTED INFORMATION FORWARD LOOKING STATEMENTS This report includes information that relates to Exploration Results which were prepared and first disclosed under the JORC Code 2012. The information was extracted from the Company’s previous ASX announc

  3. Slide 3: Company Snapshot

    12 MONTH Shareholder Split PERFORMANCE Company Snapshot Top 20 For personal use only ASX Code : SFX 40% Share Price +25% Shareholders Directors 17.5% Market Cap +41% Key milestones contributing to shareholder value during 2014 were: Capital Structure 1. Doubling of Thunderbird Mineral Resource Share

  4. Slide 4: Board & Management

    Board & Management For personal use only Board & Management PROVEN TRACK RECORD  History of successful Exploration and Corporate Transactions Will Burbury Executive Chairman  Built global scale HMS resource base in 3 years  Completed Thunderbird Bruce McQuitty Managing Director Scoping Study demo

  5. Slide 5: Project Locations

    Project Locations For personal use only (ALL 100% SFX) Thunderbird HMS Thunderbird Total Resource 2.62Bt @ 6.5% HM (72Mt VHM)1 including 740Mt @ 12.1% HM Eneabba HMS Total Resource 302Mt @ 2.2% HM (5.8Mt VHM)1 McCalls HMS Total Resource 4.4Bt @ 1.2% HM (50Mt VHM)1 Red Bull - Nickel Fraser Range Ni-C

  6. Slide 6: Thunderbird - Strategic Location

    Thunderbird - Strategic Location For personal use only LOCATION  30km north of sealed Broome - Derby highway  140km by road to either Broome or Derby ports  Gas discoveries nearby providing potential power source for project  Close to Asian markets CANNING BASIN  Thunderbird is first major mine

  7. Slide 7: Large Scale, High Grade

    Large Scale, High Grade For personal use only THUNDERBIRD MINERAL RESOURCE 19 MARCH 2014 Mineral Total Resource Valuable HM Grade (in situ) 2 2.62Bt @ 6.5% HM (at 3% HM cut-off) Resources 1 Cut-off Material HM Leucoxene NE Resource HM% Mt % Zircon % HiTi Leuc.% % Ilmenite % Total 3.0 2,620 6.5 0.55

  8. Slide 8: Thunderbird Tier Project comparison: zircon and TiO2 grade

    Tier 1 Project For personal use only THUNDERBIRD MINERAL SANDS 7.00 6.00 In Situ TiO2 Mineral Grade (Rut+Lux+Ilm) % Puttalam (ILU) Amongst the Fairbreeze (TROX) world’s largest 5.00 Douglas (ILU) and highest Toliara (WTR) Thunderbird High Grade Zone grade deposits 740Mt @ 12.1% HM @ 7.5% c/o (SFX) 4

  9. Slide 9: Large Zircon Deposits Discovered Over Past 30 Years

    Tier 1 Project For personal use only THUNDERBIRD MINERAL SANDS LARGE ZIRCON DEPOSITS DISCOVERED OVER PAST 30 YEARS 16 Most 14 significant 12 discovery in Contained zircon (Mt) 10 decades: 8 Grade and Scale 6 4 2 0 1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1997 1998 1

  10. Slide 10: Thunderbird Scoping Study April 2014 - Mining Inventory

    Thunderbird Scoping Study April 2014 For personal use only MINING INVENTORY Discovery of additional high grade mineralisation in shallow up-dip areas would have a strong positive  32 Year optimised pit shell impact on project economics  Mining inventory of 669Mt @ 10.2% HM (Measured & Indicated Re

  11. Slide 11: Thunderbird Scoping Study (Cont'd) - Physicals

    For personal use only THUNDERBIRD SCOPING STUDY (CONT’D) PHYSICALS  20.8Mtpa average mining rate (dry mining)  32 year mine life  Average annual production is estimated to be:  118,200tpa zircon (135,100tpa in first 10 years)  545,000tpa ilmenite  21,700tpa HiTi80  Approximately 8% and 4% res

  12. Slide 12: Thunderbird Scoping Study (Cont'd) - Financials

    For personal use only THUNDERBIRD SCOPING STUDY (CONT’D) FINANCIALS LOM revenue A$m 10,010  Long life, strong margin project  $140mpa EBITDA for 32 years Average Operating Cash Flow1 (first 10 yrs) A$mpa 204  Production scheduling delivers higher margins in first 10 years Average Operating Cash F

  13. Slide 13: Product Quality

    Product Quality For personal use only THUNDERBIRD MINERAL SANDS CONVENTIONAL PROCESSING  Metallurgical testwork on 2 bulk samples totalling 11 tonnes confirms mineralisation responds well to conventional processing techniques  Slimes have low clay content – requiring low flocculant dosages  Testw

  14. Slide 14: Key Focus Areas

    Key Focus Areas For personal use only VALUE ENHANCEMENT OPPORTUNITIES DURING PFS 1. Exploration upside 2. Optimise mining schedule Discovery of additional shallow high grade mineralisation could OPEN significantly enhance Infill drilling of up-dip areas OPEN project economics – will enable optimisat

  15. Slide 15: Delivering on Opportunities

    Delivering on Opportunities For personal use only DISCOVERY OF HIGH GRADE EXTENSIONS Q3-Q4 2014 NEXT MILESTONES: Dec 2014: Mineral Resource update Q1 2015: Bulk sample metallurgical testwork results Regional exploration drilling results Pre-feasibility study results 15

  16. Slide 16: Timeline to Production

    Timeline to Production For personal use only Upcoming Milestones Will Drive Shareholder Value  Resource Update Q4 2014  PFS Completion Q1 2015  Regional Exploration - targeting another Thunderbird  Permitting & Approvals Resource Scoping Pre-feasibility DFS Development Production Long life Updat

  17. Slide 17: Other Projects

    Other Projects For personal use only FRASER RANGE NICKEL  Fraser Range tenement position grown to >2,000km2  Red Bull and Big Bullocks projects are main focus  Moving Loop EM and aircore drilling programs planned for Q1 2015  RC drilling of prospective new targets ENEABBA HMS  Strategic resourc

  18. Slide 18: Conclusion

    Conclusion For personal use only SHEFFIELD IS FOCUSED ON DEVELOPING THUNDERBIRD  World class, large scale, long life project  High estimated cash margins with leverage to multiple pricing cycles  Modest estimated development capital with 2 year payback  Globally significant projected production

  19. Slide 19: Appendix 1: Resource Inventory

    Appendix 1: Resource Inventory For personal use only SHEFFIELD’S CONTAINED VALUABLE HM (VHM)* RESOURCE INVENTORY AT 19 MARCH 2014 Total VHM Deposit Resource Category Zircon (‘000t) Rutile (‘000t) HiTi Leuc. (‘000t) Leuc. (‘000t) Ilmenite (‘000t) (‘000t) Thunderbird Measured 510 - 150 140 1,660 2,450

  20. Slide 20: Appendix 2: HMS Mineral Resources

    Appendix 2: HMS Mineral Resources1 For personal use only INVENTORY 19 MARCH 2014 Resource Cut-off Material Bulk HM Slimes Osize In-situ HM Zircon2 Rutile2 HiTi Leuc.2 Ilmenite2 Project Deposit 2 Category (% HM)3 (Mt)* Density % %3 % (Mt)* % % Leuc. % % % Thunderbird Measured 3.0 75 2.1 7.5 19 11 6 9

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