Sheffield Resources Limited · ASX:SFX

Sheffield Resources — RIU Explorers Conference 2012

30 slides from Sheffield Resources's conference presentation, Feb 22, 2012

  1. Slide 1: Right Place, Right Time - RIU Explorers Conference

    For personal use only SHEFFIELD RESOURCES LTD ASX:SFX RIGHT PLACE, RIGHT TIME RIU EXPLORERS CONFERENCE 21-22 February 2012 The Esplanade Hotel, Fremantle

  2. Slide 2: Competent Persons & Forward Looking Statements

    COMPETENT PERSONS & FORWARD LOOKING STATEMENTS For personal use only COMPETENT PERSONS‟ STATEMENT – EXPLORATION RESULTS The information in this presentation that relates to exploration results has been compiled by Bruce McQuitty and David Archer. Each of Mr McQuitty and Mr Archer has consented to th

  3. Slide 3: Introduction

    INTRODUCTION For personal use only  A rapidly emerging ASX-listed company in resurgent mineral sands sector  High quality mineral sands assets secured:  Dampier Zircon Project Large, high grade project with world class potential 1  Eneabba Project Nearer term production - moving to feasibility s

  4. Slide 4: Corporate Snapshot

    CORPORATE SNAPSHOT For personal use only Capital Structure Board & Management Shares on Issue2 58.88m Will Burbury Exec Chairman Options on Issue1 32.8m Bruce McQuitty Managing Director Market Cap. (at $0.355)2 $20.9m David Archer Technical Director Cash (31 December 2011)2 $2.3m David Boyd Explorat

  5. Slide 5: Overview

    For personal use only OVERVIEW 4

  6. Slide 6: Mineral Sands Markets

    MINERAL SANDS MARKETS For personal use only Two Distinct Product Streams Zircon Sheffield’s projects are geared  Main uses: ceramics, refractory to Zircon and Chloride TiO2 linings markets  Global market ~1.4Mtpa Both markets are experiencing Titanium Feedstocks acute shortage of supply  Rutile:

  7. Slide 7: Markets & Pricing

    MARKETS & PRICING For personal use only Zircon Supply & Demand (includes induced projects) Pricing – Zircon, Rutile, Ilmenite 3,000 2,500 Zircon, Average Price Persistent supply shortage likely in base 2,000 US$/metric tonne, fob demand case 1,500 1,000 500 0 2005 2006 2007 2008 2009 2010 2011 2012

  8. Slide 8: Opportune Timing

    OPPORTUNE TIMING For personal use only ZIRCON & RUTILE PRICES 3,000 The best performing stock on the ASX 100 during First Resource 2011 was mineral sands producer Iluka Resources at Yandanooka 2,500 Acquisition of McCalls HMS Project 2,000 Dampier Price per tonne $US (FOB) Acquisition of West Teneme

  9. Slide 9: Peers - Explorers & Miners

    PEERS - EXPLORERS & MINERS For personal use only 70.0 18.00% 16.00% 60.0 Dampier Zircon Project Exploration Target1 14.00% 50.0 450 – 850 Mt @ 5 – 10% HM 22.5Mt – 85Mt THM 12.00% THM (Mt) 40.0 10.00% 8.00% 30.0 6.00% 20.0 4.00% 10.0 2.00% 0.0 0.00% Perth Basin McCalls Project Toliara Sands Murray Ba

  10. Slide 10: Mineral Sands Projects

    For personal use only MINERAL SANDS PROJECTS 9

  11. Slide 11: Rapid Growth Strategy

    RAPID GROWTH STRATEGY For personal use only  Dampier Zircon Project – Flagship project  Eneabba Project – Near term production  McCalls Project – Longer term project 1 1 2 10

  12. Slide 12: Dampier Zircon Project

    DAMPIER ZIRCON PROJECT For personal use only  Ranks in top tier of undeveloped Zircon projects  Exploration Target1 of 450-850Mt @ 5.0 - 10.0% HM for 22.5-85Mt THM (Thunderbird Prospect)  Mineral assemblage includes 8% Zircon, 2.3% rutile, 6.7% leucoxene and 34.3% ilmenite  Located 60km west of

  13. Slide 13: Dampier Zircon Project

    DAMPIER ZIRCON PROJECT For personal use only  Exploration Target1 of 450- 850Mt @ 5.0-10.0% HM applies to core only of Thunderbird prospect  Based on 8 drill intersections completed by RIO including: 45m @ 9.85% HM from 3m, 27m @ 7.00% HM from 1.5m, & 27m @ 7.92% HM from 9m  Drilling and thorium

  14. Slide 14: Dampier Zircon Project

    DAMPIER ZIRCON PROJECT For personal use only  Mineralisation at the Thunderbird Prospect is very thick with little overburden  Dimensions 6 x 5 km, av. width 24.5m  4 of the 8 drill intersections finished in mineralisation  Significant potential for extensions at depth  High average in situ zir

  15. Slide 15: Eneabba Project

    ENEABBA PROJECT For personal use only  Medium sized project  161Mt @ 2.5% HM1 in resource inventory (3 deposits – see Appendix 1 & 2)  Near term development and early cash flow potential  Scoping studies nearing completion - to assess priorities for development  Strategy is to identify sufficie

  16. Slide 16: Advantages of Dunal-Style Deposits

    ENEABBA PROJECT For personal use only ADVANTAGES OF DUNAL-STYLE DEPOSITS  At or near surface – minimal overburden  Broad deposits – allows high mining rate Yandanooka  Above water table  Zircon-rich mineral assemblage: Yandanooka 11.5% Drummond Crossing 14.9% Durack Drummond Crossing 15

  17. Slide 17: Eneabba Project Competitive Advantages

    ENEABBA PROJECT For personal use only COMPETITIVE ADVANTAGES  Established mineral sands mining district  Good quality, high value HM products  Mostly broadacre farmland  Proximity to roads & rail  “Open” ports  Close to Asian markets  Available energy sources  Abundant groundwater  Proximit

  18. Slide 18: McCalls Project

    MCCALLS PROJECT For personal use only  Located 110km north of Perth  Inferred Resource of 4.4 billion tonnes @ 1.2% HM1 for 53Mt contained HM  43Mt contained high TiO2 ilmenite  3.5Mt contained zircon  Higher value ilmenite, potentially suitable for chloride route / Global supply/demand outlook

  19. Slide 19: Exploration & Evaluation Timetable

    EXPLORATION & EVALUATION TIMETABLE For personal use only Project 2012 Q1 2012 Q2 2012 Q3 2012 Q4 HMS Projects Dampier Drilling Resource Est Scoping Eneabba Drilling Prefeasibility Prefeasibility Feasibility McCalls Resource Est & Scoping Drilling Prefeasibility Prefeasibility Other Projects Pilbara

  20. Slide 20: Summary

    SUMMARY For personal use only  A rapidly emerging player in resurgent mineral sands sector  Large projects acquired pre significant mineral sands price spike  Dampier Zircon Project set to become Company‟s flagship in 2012  Moving to feasibility on Eneabba Projects – targeting near term producti

  21. Slide 21: Appendix: Resource Inventory

    APPENDIX 1 RESOURCE INVENTORY For personal use only Sheffield’s contained Valuable HM (VHM)* Resource inventory (0.9% HM cutoff) Deposit Resource Zircon Rutile Leuc. Ilmenite Total VHM Category (‘000t) (‘000t) (‘000t) (‘000t) (‘000t) Yandanooka Indicated 201 117 168 1,072 1,558 Yandanooka Inferred 1

  22. Slide 22: HMS Mineral Resource Inventory at 0.9% HM Cut-off

    APPENDIX 2 HMS MINERAL RESOURCE1 INVENTORY AT 0.9% HM CUT-OFF 20 FEB 2012 For personal use only ENEABBA PROJECT Deposit Resource Material Bulk HM Slimes Osize In-situ HM Zircon Rutile Leuc. Ilmenite Category (Mt)* Density % % % (Mt)* % % % % Yandanooka Indicated 61.00 2.0 2.8 14.7 9.4 1.72 11.7 6.8

  23. Slide 23: Yandanooka

    APPENDIX 3 YANDANOOKA For personal use only  Total resource of 71.75 million tonnes @ 2.6% HM1 for 1.84Mt contained HM comprising: 61Mt @ 2.8% HM (Indicated) 10.75Mt @ 1.1% HM (Inferred)  Includes High Grade core of 37.5Mt @ 3.8% HM (Indicated)  High value mineral assemblage: 11.5% zircon, 6.9% r

  24. Slide 24: Ellengail

    APPENDIX 3 ELLENGAIL For personal use only  Inferred Resource1,2 of 46.45 Mt @ 2.2% HM, containing 1.04Mt HM  Includes High Grade core of 11.25Mt @ 5.0% HM, containing 560,000t HM (Inferred)  High value assemblage: 8.9% zircon, 8.7% rutile, 63.5% ilmenite and 1.9% leucoxene  Scoping work in prog

  25. Slide 25: West Mine North

    APPENDIX 3 WEST MINE NORTH For personal use only  Total Resource1,2 of 42.58Mt @ 2.8% HM for 1.2Mt contained HM comprising: 6.47Mt @ 5.6% HM (Measured) 36.11Mt @ 2.3% HM (Indicated)  Includes high-grade core of 10.09Mt @ 7.7% HM (Measured and Indicated)  High value mineral assemblage: 7.9% zircon

  26. Slide 26: Drummond Crossing

    APPENDIX 3 DRUMMOND CROSSING For personal use only  New discovery in Eneabba field  Substantial Exploration Target1 of 35-75Mt @ 1.5-2.5% HM  Rich in zircon & rutile (av. 14.9% zircon, 10.2% rutile)  Open along strike to north and south  Mineralised from surface - dunal style 1Sheffield Resourc

  27. Slide 27: Irwin

    APPENDIX 3 IRWIN For personal use only  Exploration Target 220-340Mt @ 1.2-1.6% HM  Valuable mineral assemblage (av. 10% zircon, 7.4% rutile)  Low slimes (av. 5.2%) dunal-style mineralisation amenable to dredge mining  Adjacent to Tiwest‟s Dongara deposit  Open along strike to north for 10km 1S

  28. Slide 28: Appendix 4: Other Projects - Pilbara Iron Project

    APPENDIX 4: OTHER PROJECTS PILBARA IRON PROJECT For personal use only  East Pilbara focus  Exploration Target2 of 20-60Mt @ 56-60% Fe outlined at Three Pools  1st pass drilling returned broad iron intersections from near surface, including: 50m @ 57.5% Fe from 0m (TPRC012) 42m @ 57.6% Fe from 6m

  29. Slide 29: Appendix 4: Other Projects - Talc Project

    APPENDIX 4: OTHER PROJECTS TALC PROJECT For personal use only  Simple “Dig and Deliver” commodity, e.g. Three Springs  Targeting premium grade talc to gain market penetration  Drilling has demonstrated high purity talc at 6 prospects  Definition drilling planned 2012 Luzenac‟s Three Springs mine

  30. Slide 30: Appendix 5: Dampier Zircon Project

    APPENDIX 5: DAMPIER ZIRCON PROJECT For personal use only  High average in situ zircon content of In Situ % Zircon 0.63% from RIO drilling* 2  Hosted by deeply weathered 1.5 SFX Cretaceous sediments 1  Fine grainsize of HM (D50 62µm) and 0.5 iron cementation may present some recovery issues, howev

Sheffield Resources — RIU Explorers Conference 2012 on 6ix