Bci Minerals Ltd · ASX:BCI
Bci Minerals — BC Iron — Investor Presentation (February 2010)
25 slides from Bci Minerals's investor presentation, Feb 18, 2010
Slide 1: BC Iron Limited Company Update
BC Iron Limited Company Update February 2010 Mike Young CEO
Slide 2: History of BC Iron – staying focussed
BC IRON LIMITED History of BC Iron – staying focussed !! BC Iron lists on Australian Securities Exchange (ASX) in December 2006 !! Resource drilling identifies iron ore at Nullagine - May 2007 !! Memorandum of understanding with Fortescue Metals Group - July 2007 !! Drilling to Feasibility Study & O
Slide 3: BC Iron - Capital & Management
BC IRON - CAPITAL & MANAGEMENT Capital Structure Number Board Shares 83.9M Tony Kiernan – Chairman Options 11.7M Mike Young – Managing Director Fully Diluted Total 95.6M Garth Higgo – Non-exec Director Market Cap @ $1.20 (diluted) $115 M Terry Ransted – Non-exec Director Steven Chadwick – Non-exec D
Slide 4: Nullagine Iron Ore Project
NULLAGINE IRON ORE PROJECT Nullagine Iron Ore Project !! Joint venture with FMG !! High quality, direct shipping iron ore deposit !! Production starts late 2010 !! 3 to 5 Mt annual production !! Port and rail access secured !! Offtake and project financing !! US$50m prepayments for 20 Mt offtake ove
Slide 5: Nullagine Joint Venture Parameters
NULLAGINE IRON ORE JOINT VENTURE Nullagine Joint Venture Parameters !! Ore Reserves 36Mt 57% Fe (65% CaFe) Bonnie Creek !! Simple mining with low waste to ore Shaw River !! Start-up 3 Mtpa with simple in-pit crushing and screening !! Ramp-up 5 Mtpa with fixed plant crushing and screening Nullagine R
Slide 6: Nullagine Joint Venture Milestones
NULLAGINE JV MILESTONES Nullagine Joint Venture Milestones Outcamp-Warrigal •! Dec to May 2010 – Approval & contracts •! January 2010 – Camp contract awarded •! April 2010 – Exploration camp Coongan Well construction begins •! May 2010 – Haul road – mine centre construction begins •! August 2010 – M
Slide 7: Nullagine JV – Outcamp Prospect
NULLAGINE JV – Outcamp Prospect 801,000E 802,000E 803,000E 804,000E 805,000E 7,562,000N 7,561,000N Scale 500 m Outcamp-Warrigal Deposit !! Outcropping mesa –style !! Low waste to ore ratio – 1:1 life-of-mine !! Above water table !! No pit – mining off the top 7
Slide 8: Nullagine JV – Outcamp Prospect
NULLAGINE JV – Outcamp Prospect Trial Mine Area Bottom of “pit” Water Table !! Shallow “pits” mainly above surrounding plains - mining ore from day 1 !!Above water table - lower environmental impact !!Low OpEx - low strip ratio, use of surface miners, efficient crushing and screening 8
Slide 9: Outcamp Mine – Trial mining and bulk sample
OUTCAMP MINE – Trial mining and bulk sample Trial mine findings: Plant Site !! Surface miners are confirmed as suitable to mine Nullagine ore Pit 1 !! Production rates achieve better than Feasibility estimates !! Actual tonnes and grade 113% of the predicted model Pit 3 !! Simple crushing and screen
Slide 10: Test Pit Reconciliation
TEST PIT RECONCILLIATION Planned Final Product Costean tonne Fe% Al2O3% SiO2% P% S% LOI1000 Costean 1 26,970 56.9 2.1 4.1 0.02 0.02 11.9 Costean 3 8,355 58.5 1.4 3.7 0.02 0.01 10.8 Costean 4 20,667 56.9 2.1 4.5 0.02 0.02 11.6 TOTAL 55,992 57.1 2.0 4.2 0.02 0.01 11.6 Mined Final Product Costean tonne
Slide 11: Trial Mining
TRIAL MINING Wirtgen 2500 at Outcamp Well 11
Slide 12: Trial Mining
TRIAL MINING Vermeer Terrain Leveller Cut ore requires no primary crushing 12
Slide 13: Trial Mining
TRIAL MINING Nullagine ore stockpile at Outcamp Trial mine 13
Slide 14: Construction
CONSTRUCTION Exploration camp units under construction 14
Slide 15: Construction
CONSTRUCTION Chainage 0.00 Chainage 20.00 Chainage 40.00 Haul road route aerial survey 15
Slide 16: Nullagine Joint Venture – Reserves and Resources Statement
NULLAGINE JOINT VENTURE June 2009 – Reserves and Resources Statement Probable Ore Reserves Pit Mt Fe% CaFe% SiO2% Al2O3% P% S% LOI1000 Outcamp 19.2 56.8 64.8 3.21 1.92 0.01 0.01 12.2 Warrigal 10.3 57.0 64.5 3.67 2.13 0.02 0.01 11.7 Coongan 6.0 57.0 65.1 2.52 1.82 0.01 0.01 12.4 TOTAL 35.6 56.9 64.7
Slide 17: Pilbara Iron Ore Fines
PILBARA IRON ORE FINES Nullagine DSO Yandi/Robe Pilbara Fines Element Reserve DSO DSO Fe% 57 57 – 58.5 58 - 64 Calcined Fe% 65 64 63-65 SiO2% 3.2 3–6 3–4 Al2O3% 1.9 1.4 – 2.7 1.3 – 2.1 P% <0.02 ~0.04 0.05 – 0.09 LOI 12 9-11 3-8 Size -0.15mm <10% 5-20% 10-30% Direct Shipping Ore (DSO) !! Typically be
Slide 18: Outstanding Sinter Quality
OUTSTANING SINTER QUALITY Chemical advantages !! Ultra-low Phosphorous (<0.02%) !! High Calcined Fe (>64%) Physical advantages !! Low ultra-fines – improves sinter speed Ignition hood on sinter strand Sintering advantages (Results from Shandong University, PRC) !! Sintering efficiency and productivi
Slide 19: Seaborne Fines Comparison
62 64 72 60 66 68 70 RRF Calcined Fe BHP Yandi FMG Rocket Fines BC Iron Nullagine Mt Newman Pilbara Blend HI Yandi MAC Sishen SSF Carajas LKAB KBF 19 SEABORNE FINES COMPARISON
Slide 20: Seaborne Fines Comparison
2 4 0 3 5 6 7 1 Carajas Calcined SiO2 LKAB KBF Sishen MAC SSF BC Iron Nullagine Pilbara Blend FMG Rocket Fines Mt Newman HI Yandi RRF BHP Yandi 20 SEABORNE FINES COMPARISON
Slide 21: Seaborne Fines Comparison
0.0 0.5 1.0 1.5 2.0 2.5 3.0 LKAB KBF Carajas Calcined Al2O3 SSF Sishen HI Yandi BHP Yandi FMG Rocket Fines MAC Mt Newman Pilbara Blend BC Iron Nullagine RRF 21 SEABORNE FINES COMPARISON
Slide 22: Seaborne Fines Comparison
0.02 0.04 0 0.03 0.05 0.06 0.07 0.08 0.09 0.01 BC Iron Nullagine Calcined P RRF Carajas BHP Yandi LKAB KBF HI Yandi Sishen FMG Rocket Fines SSF MAC Mt Newman Pilbara Blend 22 SEABORNE FINES COMPARISON
Slide 23: Project Pipeline
PROJECT PIPELINE Targeted M & A !! Use in-house experience and IP !! Use developed relationships (FMG, Henghou) !! Experienced Pilbara iron ore junior Commodity and geography !! Realistic targeting !! Quality and technical & commercial thresholds !! Bulks (Fe, coal, Mn, etc) !! Secure geopolitics Bu
Slide 24: BC Iron Limited – Ticking the Boxes
BC IRON LIMITED – Ticking the Boxes To be a successful iron ore mining company: "!Quality resources "!Port and rail infrastructure "!Off-take agreement "!Project financing "!Experienced team "!Poised for growth “Ticking all the boxes towards production and beyond!” 24
Slide 25: Forward-looking statements
This release may include forward-looking statements. These forward-looking statements are based on management’s expectations and beliefs concerning future events. Forward-looking statements are necessarily subject to risks, uncertainties and other factors, some of which are outside the control of BC