Southern Hemisphere Mining Limited · ASX:SUH
Southern Hemisphere Mining — Euroz Rottnest Conference (March 2010)
25 slides from Southern Hemisphere Mining's conference presentation, Mar 16, 2010
Slide 1: Investor Presentation – Euroz Rottnest Conference
For personal use only Southern Hemisphere Mining Limited Investor Presentation – Euroz Rottnest Conference Trevor Tennant – Chairman and Managing Director
Slide 2: Disclaimer Notice
For personal use only Disclaimer Notice This Presentation contains certain forward –looking information and forecasts. Such forecasts , projections and information are not a guarantee of the Company’s future performance and include unknown risks and uncertainties. Accordingly, the actual results and
Slide 3: Overview
Overview For personal use only Los Pumas Project location ¾ Dual listed exploration p company p y focused on earlyy development p of Los Pumas Manganese Project in Northern Chile ¾ Completed a secondary listing on the ASX in January 2010 ¾ ASX Code: SUH Company Focus ¾ Los Pumas Manganese Project –
Slide 4: SUH Share Price since listing
Southern Hemisphere For personal use only SUH Share Price since listing ¾ Listed on ASX ‐ 5 January 2010 $0.60 5,000,000 $ $0.50 4,000,000 ¾ Major shareholders include Board of $0.40 3,000,000 Directors and independent Chinese $0.30 2,000,000 investors $0.20 $0.10 1,000,000 ¾ Fully funded to complet
Slide 5: Board of Directors
Board of Directors For personal use only Chairman and Managing Director Non‐Executive Director ¾ mining engineer with over 37 ¾ over 25 years experience in mine Trevor Tennant years experience Eduardo Valenzuela operations, technical services and ¾ previous executive director of project financing Po
Slide 6: Mining in Chile
Mining in Chile For personal use only ¾ The largest copper producer in the world ¾ Strong mining history with westernised regulations ¾ Robust growing economy and stable government Robust, ¾ Australia, Canada, USA, EU, China, Japan, South Korea, Mexico and European Free Trade Association have free t
Slide 7: Manganese market
Manganese market For personal use only ¾ Manganese is primarily used in steel production with no suitable substitute ¾ Increasing steel production (especially in China) is increasing the demand for Manganese Manganese Price History (44% Mn) 18 ¾ Market fundamentals are changing, 15 leading to increa
Slide 8: Los Pumas Manganese Project
Los Pumas Manganese Project For personal use only Los Pumas Regional Location Map ¾ Large, easy to mine JORC Inferred Resource ¾ Low capital and operating costs expected ¾ Excellent logistics and near mine infrastructure ¾ Shallow ore body with low strip ratio ¾ Beneficiates using heavy liquid separ
Slide 9: Potential Development Scenario
Potential Development Scenario For personal use only ¾ Initial 15Mt Inferred Ore Resource targeting annual production of 400kt with plant designed to 500ktpa (38% Mn, 0.8% Fe, 20% SiO2 and 0.06% P) ¾ Provisional MOU with senior shareholder to purchase 150kt of product per annum ¾ Targeting initial s
Slide 10: Project Infrastructure – Port
Project Infrastructure For personal use only Arica Port Undercover stockpile warehouse Ship loading conveyor system Port Infrastructure ¾ Arica Port 170km by road from Los Pumas with bulk loading capabilities for Handymax ships ¾ Undercover stockpile facilities available (used for zinc concentrates
Slide 11: Project Infrastructure – Transport
Project Infrastructure For personal use only Arica – La Paz Rail Line Arica – La Paz Highway Project Access Road Transport p logistics g ¾ Major arterial highway from Arica to La Paz 40kms from Los Pumas ¾ Rail line between Arica to La Paz less than 11km from Los Pumas – considered for re‐commission
Slide 12: Project Infrastructure – Mine Camp
Project Infrastructure For personal use only Proposed Mine Camp/Hotel at Putre Regional Capital of Arica Arica Chacalutta Airport Mine Camp p ¾ Mine camp/hotel available at Putre – established by Shell to service a large mine workforce at mothballed gold mine ¾ Regional capital Arica serviced by dai
Slide 13: Geology
Geology For personal use only Los Pumas Project Area DDH drilling at Los Pumas ¾ Tabular flat mantle near surface ¾ Ore Resource at 0‐30m depth with low strip ratio ¾ Past artisan mining activity evident
Slide 14: Geology
Geology For personal use only Ore body flat, shallow and easy to mine, outcropping, to a maximum depth of 30m Los Pumas Cross Section of the North Sector Los Pumas Major Geological Features Taapaca Volcano Los Pumas Project Area Taapaca Volcanic Complex (TVC) Lauca Ignimbrite (PII) Huaylas Formation
Slide 15: Ore Resource
Ore Resource For personal use only Los Pumas Regional Map ¾ Current JORC Inferred Resource of 10%M 1 15Mt @ 10%Mn ¾ Infill drill program completed in Februaryy ¾ Awaiting new resource estimate from Coffey Mining ¾ Opportunities for increasing tonnages at Los Pumas and other sites are high Notes: 1.
Slide 16: Metallurgy
Metallurgy For personal use only Los Pumas Drill Core Regional Artisanal Workings ¾ Test work from surface grab samples using heavy liquid at an S.G. of 3.0 – average of 37.4% Mn, 1.4% Fe, 22.3% SiO2 and 0.07% P ¾ Exceptionally high Mn to Fe ratio of 26 makes product highly attractive to smelters
Slide 17: Metallurgy
Metallurgy For personal use only Heavyy liquid separation tests on core samples were designedg to test yields and product grades from different litho units that comprise the Los Pumas Manganese deposit. An initial review of the results indicate that the intermediate mantle litho unit delivers the mo
Slide 18: Regional Exploration
Regional Exploration For personal use only Regional map of exploration potential ¾ Mineralisation known since i World W ld War W II but b t potential not assessed previously ¾ Other regional manganese targets identified
Slide 19: Project Status
Project Status For personal use only ¾ Identified the Los Pumas Project in 2008 ¾ K tasks Key t k completed: l t d 9 340 RC drill holes 9 32 Diamond Drill holes 9 Inferred Ore Resource estimated – independent recalculation underway 9 Hydrology y gy Report p complete p 9 Crushability and SG tests on
Slide 20: Targeted Milestones
Targeted Milestones For personal use only M h 2010 March R i d resource estimate Revised ti t Third quarter 2010 Completion of Definitive Feasibility Study Second half 2010 Raise capital for project development S Second d half h lf 2011 Fi t shipment First hi t
Slide 21: Copper/Gold Projects
For personal use only Copper/Gold Copper/ Gold Projects Projects 21
Slide 22: Chitigua Copper Project
For personal use only Chitigua Copper Project j 22
Slide 23: Copper/Gold Exploration Projects
Copper/Gold Exploration Projects For personal use only Historical open cut at La Cuyana in the Central Cluster Historical mining activity at Tres Cruces in the Central Cluster ¾ Large portfolio of exploration projects throughout Chile over 800km2 ¾ H ld in Held i four f clusters: l – Calama – Salama
Slide 24: Copper/Gold Exploration Projects
Copper/Gold Exploration Projects For personal use only Initial exploration work to be focused on a small number of projects ‐ a preferred target will be drill tested Calama Cluster Chitigua Project ¾ porphry copper on controlling structure to some of world’s largest copper mines Salamanca Cluster La
Slide 25: Summary
Summary For personal use only ¾ Los Pumas Manganese Project – large easy to mine JORC Inferred Resource – low capital and operating costs expected – excellent logistics and near mine infrastructure – shallow ore body with low strip ratio – beneficiates using heavy liquid separation – high manganese
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