Resource Minerals International Ltd · ASX:RMI
Resource Minerals International — Resource Mining — PNG Mining Seminar 2009
21 slides from Resource Minerals International's conference presentation, Nov 2, 2009
Slide 1: Presentation: PNG Mining Seminar Port Moresby
ABN: 97 008 045 083 702 Murray Street, West Perth Western Australia 6005 For personal use only Phone: 61 8 9213 9400 Fax: 61 8 9213 9444 Website: www.resmin.com.au 2 November 2009 The Company Announcements Office Australian Stock Exchange Limited 4 Floor, 20 Bridge Street SYDNEY NSW 2000 Via Electro
Slide 2: PNG Mining Seminar: Update of Wowo Gap Activity
For personal use only PNG Mining Seminar 29‐30 October 2009 Crowne Plaza Hotel, Port Moresby UPDATE OF WOWO GAP ACTIVITY by Niugini Nickel Limited Presented by Warwick Davies, Executive Director
Slide 3: Update of Wowo Gap Activity
For personal use only UPDATE OF WOWO GAP ACTIVITY Wowo Gap Nickel Laterite Project EL 1165 Owned by: Niugini Nickel Limited (NNL) (100% Subsidiary of Resource Mining Corporation)
Slide 4: Disclaimer
NNL ‐ Disclaimer For personal use only This Document is Confidential and may not be reproduced, redistributed or passed on, directly or indirectly, to any other person, or published, in whole or in part, for any purpose without prior written approval from Resource Mining Corporation. This Document i
Slide 5: Wowo Gap – Nickel/Cobalt Project
NNL ‐ Wowo Gap – Nickel/Cobalt Project For personal use only
Slide 6: Wowo Gap – Regional Geology
NNL ‐ Wowo Gap – Regional Geology For personal use only
Slide 7: PNG Commitment
NNL ‐ PNG Commitment For personal use only EXPLORATION FOCUS •100% from PNG ► Transport (fixed wing and helicopters) ► Drilling ► Logistics ► Sample preparation •Geologists, field crews, trades and labourers – 100% PNG nationals •Kina 4.5 million, spent on Exploration and Project Development since F
Slide 8: Project Update - 2009
NNL ‐ Project Update ‐ 2009 For personal use only WOWO GAP PROJECT ‐ TENEMENT NO: EL1165 ► JORC Compliant Resources (reported at 0.8% Ni cutoff): Wowo Gap Laterite Nickel - Cobalt Resource Classification Ni % Cut M Tonnes Nickel % Cobalt % Contained Nickel Contained Cobalt Off tonnes tonnes Indicate
Slide 9: NNL – Nickel Price
NNL – Nickel Price For personal use only Project Economics driven by long term Ni price • Current price US$19,500/tonne on long term trend from 2004 •Future price trend ??? • Nickel price bubble of mid 2006 to early 2008 spurred development • Nickel pig iron – a “new market” • Subsequent price colla
Slide 10: NNL – Uses for Nickel
NNL – Uses for Nickel For personal use only Stainless Steel dominates the Ni sector in terms of use accounting for 75% of annual Nickel metal consumption • Since 2001, world stainless steel production growth has risen at approx 10% pa • Increase has been dominated by China where growth has been arou
Slide 11: NNL – Nickel Pig Iron
NNL – Nickel Pig Iron For personal use only Production is carried out in China in small Iron making blast furnaces, (200 to 300 cubic metre inner volume) Feedstock is Limonite ore Imported Limonite quality varies from 0.9% to 2.0% Ni (price driven) Nickel Iron typically has 5% to 8.5% Ni in the iron
Slide 12: NNL – Development Options
NNL – Development Options For personal use only The following development options were considered: 1. Direct Ship 2. Heap Leach 3. Atmospheric Leach 4. High Pressure Acid Leach (HPAL)
Slide 13: Development Options: Direct Shipping
NNL ‐ Development Options For personal use only 1. Direct Shipping option: Advantages: • Low Capex and Opex • Potential markets limited, but close by – freight costs low Current Trade: Limonite Saprolite Grade demand >1.4% Ni >2.5% Ni Customers Yubulu Refinery Qld Smelters - Japan Suppliers Indonesi
Slide 14: Development Options: Direct Shipping cont.
NNL ‐ Development Options For personal use only Direct Shipping option cont. Future potential: • Currently researching alternate markets for the lower grade Wowo Gap Ni Laterite material • Export restrictions contemplated by the Governments of Indonesia and Philippines
Slide 15: Development Options: Heap Leach
NNL ‐ Development Options For personal use only 2. Heap Leach option: • Capital Cost US$680 ‐ $860 million • Operating Cost ~ US$3 ‐ 4/lb Ni depending on acid price • Metallurgical challenges due to very high Fe (limonite) and Mg (saprolite) as both elements preferentially consume acid • Tropical en
Slide 16: Development Options: Atmospheric Leach
NNL ‐ Development Options For personal use only 3. Atmospheric Leach Option: • Capital Cost > US$1 billion for 20,000 tpa operation • Operating Cost ~ US$5 ‐ 6/lb Ni depending acid price • Metallurgical challenges due to very high Fe in the limonite and high Mg in the saprolite (both consume acid in
Slide 17: Development Options: High Pressure Acid Leach
NNL ‐ Development Options For personal use only 4. High Pressure Acid Leach (HPAL) Option: • Preferred process option for Limonite ore (high Fe, low Mg material) • Proposed Process Facility is 1.25Mtpa HPAL plant to produce 10,000 tonnes of Nickel metal equivalent • Proven technology particularly at
Slide 18: Resource Model: Oblique View
NNL ‐ Resource Model: Oblique View For personal use only Indicated Resource ‐ 39 Mt 1.00% Ni, 0.05% Co* Note*: 0.8%Ni Cutoff, IBD of 1.1gcm3 for Limonite Material and 1.3gcm3 for Saprolite Material
Slide 19: Concept Site Layout
NNL ‐ Concept Site Layout For personal use only
Slide 20: Project Benchmarking - HPAL
NNL ‐ Project Benchmarking ‐ HPAL For personal use only Project Wowo Ramu Ravensth Goro Ambatovy Murrin Gladston Niquel do Gap orpe Murrin e Nickel Vermelho Capital Est 700 800 700 1 400 690 3 400 1 200 cost (original estimate), US$M Capital 1300 2 200 1 900 2 500 1 300 cost 3 000 (actual) US$ Opera
Slide 21: NNL – Summary/Conclusions
NNL – Summary/Conclusions For personal use only ► Indicated and Inferred Resource updated ► Further Diamond Drilling to Increase Resource Base and provide additional sample for metallurgical test work. ► Finalise Feasibility Study into the 1.25Mtpa HPAL project ► Continue to assess alternative hydro