Admiralty Resources NL · ASX:ADY
Admiralty Resources NL — Investor Presentation (September 2009)
63 slides from Admiralty Resources NL's investor presentation, September 2009
Slide 1: SCM Vallenar Iron Company
SCM VALLENAR IRON COMPANY September 2009 Santiago, Chile
Slide 2: Map of Chile
MAP OF CHILE Sociedad Contractual Minera Vallenar Iron Company – Rosario Norte #615, Oficina 2001, Santiago - Chile. Fono: 4809700 mail: info@vallenariron.com 2
Slide 3: Index
INDEX 1. ADMIRALTY RESOURCES NL 2. SCM VALLENAR IRON COMPANY 3. HISTORY 4. LOCATION AND GEOGRAPHY 5. MINING CONCESSIONS AND TENURE 6. INFRASTRUCTURE 7. EXPLORACION AND GEOLOGY 8. MINING OPERATIONS 9. PRODUCT SALES 10. APPENDICES 1. MINERALS TENURE 2. CERTIFICATES OF PRODUCT ANALYSIS AND QUALITY Soci
Slide 4: Admiralty Resources NL and SCM Vallenar Iron Company
1. ADMIRALTY RESOURCES NL Admiralty Resources NL (www.ady.com.au) is an Australian based diversified mining company with mining interests in Australia and Chile. Admiralty Resources NL trades on the Australian Securities Exchange (ASX) under the symbol ADY. Admiralty Resources NL holds a 100% equity
Slide 5: History
Minera Company” and transferred to Minera Santa Bárbara legal title of the mineral exploration concession Negrita 1 to 4. After the year 2004, Minera Santa Bárbara staked and purchased additional minerals exploitation and exploration concessions. The objective of Minera Santa Bárbara was to continue
Slide 6: Mining concessions and tenure
tenure holding is composed of 54 mineral exploitation concessions covering 9,396 hectares and 5 mineral exploration concessions covering 1,400 hectares. All of SCM Vallenar Iron Company’s mineral tenure is registered in the Registry Of Mines Office in Vallenar and is held by in good legal standing w
Slide 7: Infrastructure
6. INFRASTRUCTURE Vallenar, a city of approximately 48,000 inhabitants is located on the Pan American Highway 145 kilometers south of the city of Copiapó, the capital of Chile’s Third Region and 187 kilometers north of the city of La Serena the capital city of Chile’s Fourth Region. The cities of Co
Slide 8: Geological district infrastructure map
FIGURE L2= MAP OF SCM VALLENAR IRON COMPANY GEOLOGICAL DISTRICT’S INFRASTRUCTURE The following are the key infrastructure features of SCM Vallenar Iron Company’s geological district that are favorable to a mine development scenario: • SCM Vallenar Iron Company’s geological district is located 51 kil
Slide 9: Photographs of Punta Alcalde maritime concession
FIGURE L1 = PHOTOGRAPHS OF PUNTA ALCALDE MARITIME CONCESSION Sociedad Contractual Minera Vallenar Iron Company – Rosario Norte #615, Oficina 2001, Santiago - Chile. Fono: 4809700 mail: info@vallenariron.com 9
Slide 10: Railway and highway access
• Ferronor S. A., a privately owned Chilean railway company owns and operates a railway cargo transportation service into the Port Of Huasco. Compañía Minera del Pacífico (CMP) uses this railway for the transportation of its iron ore to its metallurgical plant located in the Port Of Huasco. SCM Vall
Slide 11: Exploration and Geology
• Mine development, mine construction and mine operational activities would not be adversely affected by altitude conditions, topography or climate. All of the aforementioned infrastructure features will have a significant positive impact on mine development, mine construction and mine operating cos
Slide 12: Map of the geological district
FIGURE G1 = MAP OF SCM VALLENAR IRON COMPANY GEOLOGICAL DISTRICT 13 Sociedad Contractual Minera Vallenar Iron Company – Rosario Norte #615, Oficina 2001, Santiago - Chile. Fono: 4809700 mail: info@vallenariron.com 12
Slide 13: Chilean Iron Belt
CHILEAN IRON BELT The most economically important iron deposits in Chile are distributed in a belt in a north to nor-northwest direction, 25 to 30 kilometers wide and 600 kilometers long, from La Ligua (latitude 32°15’S) to El Salado (latitude 26°S), 15 to 60 kilometers from the Pacific Ocean. The m
Slide 14: Chilean iron deposits classification
Chilean Iron Deposits Classification A Chilean iron deposits classification exists based on the morphology and lithology of the host rocks and the mineralogical characteristic of the iron deposits; the classification reflects the environment in which each deposit was formed and is as follows: a) Ban
Slide 15: Iron deposits in stratified rocks: Bandurrias type
A. Iron deposits In Stratified Rocks: Bandurrias Type. These correspond to deposits located approximately 20 kilometers east of the axis of the Chilean Iron Belt. They are controlled by NNE structures and the mineralization is hosted in sedimentary rocks (ex. Bandurrias, Chañar Quemado, Manolete, La
Slide 16: Carmen and Algarrobo type deposits
In Boquerón Chañar, the host rock is chloritized andesite. Close to the magnetite bodies, the andesite changes to a rock with disseminated actinolite in veinlets and magnetite. In an advance stage of mineralization, a pseudo-breccia appears with actinolite, scapolite and magnetite matrix. C. Contact
Slide 17: Exotic iron deposits and regional geology
E. Exotic Iron Deposits: Desvío Norte Type These correspond to quaternary colluvial-alluvial sediments with boulders of magnetite-martite. They are formed from the iron bodies’ erosion which is gravitationally deposited beside of the source of erosion. An example of this is the Japonesa deposit. REG
Slide 18: Geology of Chilean Iron Belt
FIGURE G4 = GEOLOGY OF CHILEAN IRON BELT Sociedad Contractual Minera Vallenar Iron Company – Rosario Norte #615, Oficina 2001, Santiago - Chile. Fono: 4809700 mail: info@vallenariron.com 19
Slide 19: Ore bodies geology
SCM VALLENAR IRON COMPANY ORE BODIES GEOLOGY Intermediate composition intrusive rocks are emplaced into volcanic rocks in the area along what a North-Northeast trending fault zone that is intersected by a northwest trending fault zone near Cerro Mirador. The mineralization in the roof pendant host r
Slide 20: Identified ore bodies
FIGURE G5 = SCM VALLENAR IRON COMPANY INDENTIFIED ORE BODIES Sociedad Contractual Minera Vallenar Iron Company – Rosario Norte #615, Oficina 2001, Santiago - Chile. Fono: 4809700 mail: info@vallenariron.com 21
Slide 21: Japonesita and Japonesa ore bodies
4. Japonesita The Japonesita ore body correspond to a group of a narrow high grade veins (>55% Fe). Veins are emplaced in 200 meters wide shear zone that host small faults filled by high grade magnetite. 5. Japonesa The Japonesa ore body corresponds to an exotic iron ore body generated by the erosio
Slide 22: Pampa Tololo Project
10. Pampa Tololo Project The Pampa Tololo Project is located 33 kilometers north of the city of Vallenar (20 minutes driving distance from the city); access is from the Pan American Highway. The Pampa Tololo Project comprises of 3,455 hectares of mineral exploration concessions. The Pampa Tololo min
Slide 23: Pampa Tololo prospect
proximity of the Los Colorados Iron Mine location and the presence of high magnetic anomalies are attractive features and strongly support further exploration work to explore for iron bodies in the area. FIGURE G6 = PAMPA TOLOLO PROSPECT Sociedad Contractual Minera Vallenar Iron Company – Rosario No
Slide 24: Observations and work executed to date
Observations 1 Potential for increased resources exists within all the areas of SCM Vallenar Iron Company’s Geological District that have not been the target of advanced exploration programs. 2 The nine ore bodies identified within the SCM Vallenar Iron Company Geological District are open for addit
Slide 25: Geophysics surveys
• In 1991, the United Nations carried out an aeromagnetic exploration over Japonesa ore body, finding several magnetic anomalies in the Sierra Chinchilla area. • In 1996, Phelps Dodge, Barrick and BHP carried out an “Estudio Multiclientes de Magnetometría” focused mainly in Cu-Au exploration. Most o
Slide 26: Aeromagnetometry of geological district
FIGURE G7 = AEROMAGNETOMETRY SCM VALLENAR IRON COMPANY GEOLOGICAL DISTRICT Sociedad Contractual Minera Vallenar Iron Company – Rosario Norte #615, Oficina 2001, Santiago - Chile. Fono: 4809700 mail: info@vallenariron.com 27
Slide 27: RTP ground magnetic survey
FIGURE G8 = RTP Ground Magnetic Survey Sociedad Contractual Minera Vallenar Iron Company – Rosario Norte #615, Oficina 2001, Santiago - Chile. Fono: 4809700 mail: info@vallenariron.com 28
Slide 28: Total field ground magnetic survey
FIGURE G9 = Total Field Ground Magnetic Survey Sociedad Contractual Minera Vallenar Iron Company – Rosario Norte #615, Oficina 2001, Santiago - Chile. Fono: 4809700 mail: info@vallenariron.com 29
Slide 29: Aeromagnetic anomalies Los Colorados and Pampa Tololo
FIGURE G10 = Aeromagnetic Anomalies in Los Colorados Mine (CMP) and Pampa Tololo Prospect Sociedad Contractual Minera Vallenar Iron Company – Rosario Norte #615, Oficina 2001, Santiago - Chile. Fono: 4809700 mail: info@vallenariron.com 30
Slide 30: Drilling
Drilling Drilling programs within the SCM Vallenar Iron Company Geological District commenced in 1995 at the Japonesa Ore Body. From 2005 to 2007 several exploration drilling programs were executed, which allowed SCM Vallenar Iron Company and SRK to elaborate a mineral resource evaluation of the mos
Slide 31: Drilling and resource estimation
Mariposa: 33 vertical and inclined drill holes totaling 5,224 meters have been executed in Mariposa with depths between 280 and 40 meters. Negrita: 7 drill holes totaling 710 meters have been drilled in Negrita, with depths between 40 and 200 meters. Soberana: At the Soberana ore body, located in th
Slide 32: Japonesa resource modeling
Using a sectional geological interpretation and information extracted from 116 of a total of 117 drill holes on the Japonesa ore body, SRK constructed a three dimensional geological model for the Japonesa ore body using GEMCOM software. Six mineral zones were modeled and a 3D solid for accumulative
Slide 33: Japonesa resources and scoping study
FIGURE G11 = Tonnage-Grade Curve – Fe% By Mineral Zone In summary, considering at a cut off of 10%, the total of the Measured, Indicated and Inferred Resources for Japonesa ore body is 43,236,000 tons of Fe, with grades of 14.8%. Mining Scoping Study For The Japonesita and Mariposa Ore Bodies In Apr
Slide 34: Resources estimate for Japonesita and Mariposa
Resources Estimate For Japonesita And Mariposa Ore Bodies Between January and May 2007, SRK Consulting Chile S.A. elaborated a mineral resource model for the iron mineralization in the Japonesita and Mariposa ore bodies and prepared an independent technical report following the guidelines of JORC. S
Slide 35: Tonnage-grade curve Japonesita
FIGURE G12 = Tonnage-Grade Curve – Fe% (Japonesita) Sociedad Contractual Minera Vallenar Iron Company – Rosario Norte #615, Oficina 2001, Santiago - Chile. Fono: 4809700 mail: info@vallenariron.com 36
Slide 36: Japonesita resources
In summary, considering at a cut off of 10%, the total of the Measured, Indicated and Inferred Resources for Japonesita ore body is 54,243,000 tons of Fe, with grades of 20.1%. Mariposa Sociedad Contractual Minera Vallenar Iron Company – Rosario Norte #615, Oficina 2001, Santiago - Chile. Fono: 4809
Slide 37: Mariposa and Primavera resources
FIGURE G13 = Tonnage-Grade Curve – Fe% (Mariposa) In summary, considering at a cut off of 10%, the total of the Measured, Indicated and Inferred Resources for Mariposa ore body is 168,408,000 tons of Fe, with grades of 18%. Resources Estimate For Primavera Ore Body Between June and July 2009, SRK Co
Slide 38: SRK results
The following are the results obtained by SRK: Sociedad Contractual Minera Vallenar Iron Company – Rosario Norte #615, Oficina 2001, Santiago - Chile. Fono: 4809700 mail: info@vallenariron.com 39
Slide 39: Primavera and Mirador resources
FIGURE G14 = Tonnage-Grade Curve – Fe% (Primavera) In summary, considering at a cut off of 10%, the total of the Measured, Indicated and Inferred Resources for Primavera ore body is 130,127,000 tons of Fe, with grades of 16,7 %. Resources Estimate For Mirador Ore Body Between July and August 2009, S
Slide 40: Mirador resource results
was 2,5 x 5 x 10 meters. Mineral Resources were classified using intervals of both Ordinary Kriging Estimation Method (OKV) and Nearest Sample Distance (NSD). The following are the results obtained by SRK: Sociedad Contractual Minera Vallenar Iron Company – Rosario Norte #615, Oficina 2001, Santiago
Slide 41: Total reported JORC resources
FIGURE G15 = Tonnage-Grade Curve – Fe% (Mirador) In summary, considering at a cut off of 10%, the total of the Measured, Indicated and Inferred Resources for Mirador ore body is 27,311,000 tons of Fe, with grades of 17,2 %. Finally, following the guidelines of JORC in accordance with the requirement
Slide 42: SRK mineral resources statement
SRK Consulting (Chile) S.A. Av. Apoquindo 4001, Piso 7º Las Condes - Santiago Chile santiago@srk.cl www.srk.cl Tel: +(56-2) 4890 800 Fax: +(56-2) 4890 801 September 2, 2009 Let-591/09 06-2301-01 MINERAL RESOURCES STATEMENT FOR THE JAPONESA IRON MINE, JAPONESITA, PRIMAVERA, MARIPOSA AND MIRADOR IRON
Slide 43: Mining operations
8. MINING OPERATIONS In 2006, during the period in which Wyndham Explorations S. A. was the majority shareholder in Minera Santa Barbara; mining services contracts were celebrated between Besalco Maquinarias S. A. and Minera Santa Barbara for the exploitation of the Japonesa Ore Body. Exploitation o
Slide 44: Japonesa pits and processing plant
FIGURE O1 = VIEW OF PITS IN THE JAPONESA ORE BODY FIGURE O2 = VIEW OF MINERAL PROCESSING PLANT Sociedad Contractual Minera Vallenar Iron Company – Rosario Norte #615, Oficina 2001, Santiago - Chile. Fono: 4809700 mail: info@vallenariron.com 44
Slide 45: Production summary
TABLE O1 = PRODUCTION SUMMARY PRODUCTION SUMMARY/CONCENTRATES Year 2007 2008 January 31,961 February 10,693 29,729 March 13,243 9,635 April 17,621 13,096 May 27,174 26,715 June 28,770 27,816 July 32,481 17,715 August 36,052 22,983 September 36,627 23,397 October 36,818 21,083 November 31,874 Decembe
Slide 46: Marketing and sales
• Besalco Maquinarias S. A., the primary mining services contractor was not achieving the production targets with respect to the plant throughput agreed to in the contracts celebrated with SCM Vallenar Iron Company. 9. MARKETING AND SALES During the year 2007, SCM Vallenar Iron Company developed and
Slide 47: Appendix 1 Mineral Tenure
APPENDIX 1 MINERAL TENURE Sociedad Contractual Minera Vallenar Iron Company – Rosario Norte #615, Oficina 2001, Santiago - Chile. Fono: 4809700 mail: info@vallenariron.com 47
Slide 48: Mining concessions
SCM VALLENAR IRON COMPANY MINING CONCESSIONS I. EXPLOITATION CONCESSIONS NAME NUMBER HECTARES TYPE ORE BODY JAPONESA 1/8 03301-2722-8 34 EXPLOITATION Japonesa JAPONESITA 1/16 03301-2447-4 96 EXPLOITATION Japonesa MIRADOR 1/3 03301-2723-6 21 EXPLOITATION Mirador PHIL 03301-3630-8 3 EXPLOITATION Japon
Slide 49: Tenure summary
II. EXPLORATION CONCESSIONS NAME NUMBER HECTARES TYPE ORE BODY ZAPALLO 1 03301-4741-5 200 EXPLORATION Japonesa ZAPALLO 2 03301-4742-3 300 EXPLORATION Japonesa ZAPALLO 3 03301-4743-1 300 EXPLORATION Japonesa ZAPALLO 4 03301-4744-K 300 EXPLORATION Japonesa ZAPALLO 5 03301-4745-8 300 EXPLORATION Mirado
Slide 50: Appendix 2 Product Analysis and Quality Certificates
APPENDIX 2 PRODUCT ANALYSIS AND QUALITY CERTIFICATES Sociedad Contractual Minera Vallenar Iron Company – Rosario Norte #615, Oficina 2001, Santiago - Chile. Fono: 4809700 mail: info@vallenariron.com 50
Slide 51: Sociedad Contractual Minera Vallenar Iron Company – Rosario Norte #615, Oficina 2001, Santiago -
Sociedad Contractual Minera Vallenar Iron Company – Rosario Norte #615, Oficina 2001, Santiago - Chile. Fono: 4809700 mail: info@vallenariron.com 51
Slide 52: Sociedad Contractual Minera Vallenar Iron Company – Rosario Norte #615, Oficina 2001, Santiago -
Sociedad Contractual Minera Vallenar Iron Company – Rosario Norte #615, Oficina 2001, Santiago - Chile. Fono: 4809700 mail: info@vallenariron.com 52
Slide 53: Sociedad Contractual Minera Vallenar Iron Company – Rosario Norte #615, Oficina 2001, Santiago -
Sociedad Contractual Minera Vallenar Iron Company – Rosario Norte #615, Oficina 2001, Santiago - Chile. Fono: 4809700 mail: info@vallenariron.com 53
Slide 54: Sociedad Contractual Minera Vallenar Iron Company – Rosario Norte #615, Oficina 2001, Santiago -
Sociedad Contractual Minera Vallenar Iron Company – Rosario Norte #615, Oficina 2001, Santiago - Chile. Fono: 4809700 mail: info@vallenariron.com 54
Slide 55: Sociedad Contractual Minera Vallenar Iron Company – Rosario Norte #615, Oficina 2001, Santiago -
Sociedad Contractual Minera Vallenar Iron Company – Rosario Norte #615, Oficina 2001, Santiago - Chile. Fono: 4809700 mail: info@vallenariron.com 55
Slide 56: Sociedad Contractual Minera Vallenar Iron Company – Rosario Norte #615, Oficina 2001, Santiago -
Sociedad Contractual Minera Vallenar Iron Company – Rosario Norte #615, Oficina 2001, Santiago - Chile. Fono: 4809700 mail: info@vallenariron.com 56
Slide 57: Sociedad Contractual Minera Vallenar Iron Company – Rosario Norte #615, Oficina 2001, Santiago -
Sociedad Contractual Minera Vallenar Iron Company – Rosario Norte #615, Oficina 2001, Santiago - Chile. Fono: 4809700 mail: info@vallenariron.com 57
Slide 58: Sociedad Contractual Minera Vallenar Iron Company – Rosario Norte #615, Oficina 2001, Santiago -
Sociedad Contractual Minera Vallenar Iron Company – Rosario Norte #615, Oficina 2001, Santiago - Chile. Fono: 4809700 mail: info@vallenariron.com 58
Slide 59: Sociedad Contractual Minera Vallenar Iron Company – Rosario Norte #615, Oficina 2001, Santiago -
Sociedad Contractual Minera Vallenar Iron Company – Rosario Norte #615, Oficina 2001, Santiago - Chile. Fono: 4809700 mail: info@vallenariron.com 59
Slide 60: Sociedad Contractual Minera Vallenar Iron Company – Rosario Norte #615, Oficina 2001, Santiago -
Sociedad Contractual Minera Vallenar Iron Company – Rosario Norte #615, Oficina 2001, Santiago - Chile. Fono: 4809700 mail: info@vallenariron.com 60
Slide 61: Sociedad Contractual Minera Vallenar Iron Company – Rosario Norte #615, Oficina 2001, Santiago -
Sociedad Contractual Minera Vallenar Iron Company – Rosario Norte #615, Oficina 2001, Santiago - Chile. Fono: 4809700 mail: info@vallenariron.com 61
Slide 62: Sociedad Contractual Minera Vallenar Iron Company – Rosario Norte #615, Oficina 2001, Santiago -
Sociedad Contractual Minera Vallenar Iron Company – Rosario Norte #615, Oficina 2001, Santiago - Chile. Fono: 4809700 mail: info@vallenariron.com 62
Slide 63: Sociedad Contractual Minera Vallenar Iron Company – Rosario Norte #615, Oficina 2001, Santiago -
Sociedad Contractual Minera Vallenar Iron Company – Rosario Norte #615, Oficina 2001, Santiago - Chile. Fono: 4809700 mail: info@vallenariron.com 63
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