Fenix Resources Limited · ASX:FEX
Fenix Resources — Investor Presentation (June 2019)
19 slides from Fenix Resources's investor presentation, Jun 5, 2019
Slide 1: Iron Ridge Project - Premium Grade Iron Ore
For personal use only IRON RIDGE PROJECT PREMIUM GRADE IRON ORE F E N I X R E S O U R C E S L I M I T E D ( A S X : F E X )
Slide 2: Important Disclosure
Important Disclosure Disclaimer For personal use only • The material in this presentation has been prepared by Fenix Resources Limited (“Fenix”) and is general background information on Fenix. This information is given in summary form and does not purport to be complete. Information in this presenta
Slide 3: Company Overview
For personal use only Company Overview F E N I X R E S O U R C E S L I M I T E D ( A S X : F E X )
Slide 4: Corporate Strategy
Corporate Strategy Ideally placed to generate value from a high quality project For personal use only Aim to supply premium- Plan to commercialise grade products to the Iron Ridge and build a steel industry trusted customer base Focused management and Board of Directors with industry specific and co
Slide 5: Corporate Overview
Corporate Overview Share Price History For personal use only Capital Structure & Pricing Ordinary shares on issue 249.7m Volume (m) ClosePrice Vendor Performance Shares 1 12 300 112.5m Employee Performance Rights 1 20.8m Unlisted Options 2 59.0m 10 250 Share Price (28 May 2019) $0.088 Market capital
Slide 6: Iron Ore Market Dynamics
For personal use only Iron Ore Market Dynamics F E N I X R E S O U R C E S L I M I T E D ( A S X : F E X )
Slide 7: Buoyancy in Iron Ore Pricing
Buoyancy in Iron Ore Pricing Premium Iron Ore Prices have been strong as Chinese Iron Ore Stockpiles trend downwards For personal use only Iron Ore Price (CFR Qingdao) Total Chinese Iron Ore Port Inventory (Mt) 62% CFR Qingdao Equivalent (US$/dmt) 65% CFR Qingdao Equivalent (US$/dmt) $120 150 $110 1
Slide 8: Structural Change Favours High Grade Ore
Structural Change Favours High Grade Ore • Premium Iron Ore Market is applicable For personal use only • Environmental policies in China have created a structural change which favours high grade ore • Lower supply from Brazil also a factor • Noticeable shift toward quality projects and widening prem
Slide 9: Iron Ridge Project
For personal use only Iron Ridge Project F E N I X R E S O U R C E S L I M I T E D ( A S X : F E X )
Slide 10: Iron Ridge Project: High Grade Hematite Iron Ore Project in the Midwest
Iron Ridge Project High Grade Hematite Iron Ore Project in the Midwest For personal use only • Fenix entered into an agreement to acquire the project in May 2018 for only $1m in shares • Identified that it has significant potential to host a small mining operation that produces high quality product
Slide 11: Location, Tenure & Infrastructure
Location, Tenure & Infrastructure Low Capex contract mining & trucking concept facilitated by key project characteristics For personal use only Good Roads Excellent Tenure Sealed highway runs within ~15km of project. 490km 100% owned Granted mining (by road) to Geraldton Port lease (M20/118) valid u
Slide 12: Favourable Geology
Favourable Geology • Mineralisation plunges gently to the south-west along strike For personal use only • Deepest mineralisation intersected is at 230m beneath surface • Consistent high grades recorded in the main BIF after 20-40m hardcapped mineralisation (minor elevated alumina) • No issues identi
Slide 13: Excellent Mineral Resource Upgrade
Excellent Mineral Resource Upgrade ✓ High grade overall For personal use only Tonnes Fe Al2O3 LOI P SiO2 TiO2 Resource at 64.1% Fe Category Stratigraphy Mt % % % % % % ✓ Main BIF higher grade Indicated Main BIF 5.9 65.0 2.38 1.36 0.038 2.92 0.09 ✓ indicated portion Indicated Little BIF 0.7 60.0 3.60
Slide 14: Grade – Tonnage Curve
Grade – Tonnage Curve • Historical resource estimate used For personal use only 2019 Updated Mineral Resource Estimation – Grade/Tonnage a lower cut-off of 50% Fe 12 72.0 Tonnes Millions Fe % • The updated mineral resource 11 70.0 10 estimate has been reported at a 68.0 9 higher cut-of grade of 58%
Slide 15: Successful Confirmation Drilling
Successful Confirmation Drilling Hole ID From (m) To (m) Width (m) Fe (%) Al2O3 (%) P (%) SiO2 (%) LOI (%) For personal use only IR001 36 87 51 63.93 2.99 0.06 3.37 1.8 IR002 79.3 137.5 58.2 66.58 1.85 0.03 2.23 1.05 IR003 159.2 182.2 23 67.83 1.21 0.02 1.52 0.75 IR004 91 161 70 64.41 2.63 0.05 3.14
Slide 16: Excellent Preliminary Metallurgical Results
Excellent Preliminary Metallurgical Results • Low deleterious elements, well within acceptable limits For personal use only • The project is anticipated to produce Premium >65% Fe lump and >63% Fe fines products • Estimates 25-30% as a lump product (the ability of Fenix to extract premium prices wil
Slide 17: Capex / Opex Considerations
Capex / Opex Considerations CAPEX requirement is expected to be modest due to: For personal use only • No additional port infrastructure required as Geraldton Port currently has abundant surplus capacity for ore storage and ship loading • Existing sealed road used previously by Crossland Resources/M
Slide 18: Newsflow Progression
Newsflow Progression ❖ Drill results – released 17 January, 23 January and 5 February 2019 For personal use only ❖ Mineral Resource update (reported in accordance with the JORC code) – released 19 March 2019 ❖ Trucking JV company established between FEX and Craig Mitchell – released 7 May 2019 ❖ Met
Slide 19: For personal use only
For personal use only www.fenixresources.com.au info@fenixresources.com.au F E N I X R E S O U R C E S L I M I T E D ( A S X : F E X )