Terramin Australia Limited · ASX:TZN
Terramin Australia — Shareholder Meeting (May 2012)
34 slides from Terramin Australia's shareholder meeting presentation, May 31, 2012
Slide 1: Terramin Australia Limited 2012 Annual General Meeting
TERRAMIN AUSTRALIA LIMITED For personal use only 2012 Annual General Meeting 31 May 2012
Slide 2: Company update
For personal use only Annual General Meeting 31 May 2012 Company update TERRAMIN AUSTRALIA LIMITED SLIDE No. 2
Slide 3: Important information
Important information For personal use only The information in this presentation is designed as an aid to a spoken explanation. It is not to be considered without that explanation. It is not intended to guide any investment decisions in Terramin Australia Ltd. The information is intended as a guide
Slide 4: Agenda
AGM presentation For personal use only 1. Corporate Strategic Review - Update 2. South Australia Mine & Projects Angas Zinc Mine Fleurieu Exploration Menninnie Project 3. Strategic Priorities 4. Questions & Answers TERRAMIN AUSTRALIA LIMITED SLIDE No. 4
Slide 5: Corporate Strategic Review
Corporate Strategic Review For personal use only Stage one – sale of interest in TH project Stage two - unlock value of Menninnie & Fleurieu projects TERRAMIN AUSTRALIA LIMITED SLIDE No. 5
Slide 6: Decision to sell interest in Tala Hamza asset
Stage 1 - Decision to sell interest in Tala Hamza asset For personal use only Strategic principles support decision to sell: First of outcomes of Strategic Review (announced December 2011) Opportunity to realise value created through Tala Hamza DFS and Oued Amizour exploration Opportunity to l
Slide 7: Status of sale of interest in Tala Hamza asset
Status of sale of interest in Tala Hamza asset For personal use only Discussions with NFC continue NFC conducting due diligence Parallel talks ongoing to reconcile differences of opinion with WMZ JV partner TERRAMIN AUSTRALIA LIMITED SLIDE No. 7
Slide 8: Unlock value of Menninnie & Fleurieu exploration projects
Stage 2 - Unlock value of Menninnie & Fleurieu exploration projects For personal use only Appointed Corporate Advisor Joint Venture potential or outright sale Market updates will be provided TERRAMIN AUSTRALIA LIMITED SLIDE No. 8
Slide 9: Near term finance
Near term finance For personal use only Investec short term working capital facility Debt restructure review underway Alignment with Angas free cash flow profile TERRAMIN AUSTRALIA LIMITED SLIDE No. 9
Slide 10: Terramin South Australia Mine and Projects
For personal use only Terramin South Australia Mine and Projects TERRAMIN AUSTRALIA LIMITED SLIDE No. 10
Slide 11: Angas Zinc Mine
For personal use only Angas Zinc Mine TERRAMIN AUSTRALIA LIMITED SLIDE No. 11
Slide 12: Angas Zinc Mine Operation
Angas Zinc Mine Operation For personal use only 100% owner operated Began production in 2008 and now produces ~ 57,000 tpa of zinc concentrate and ~ 20,000 tpa of lead concentrate Life of mine off-take agreements for zinc and lead concentrates The LOM is currently 2 years with some potential
Slide 13: Angas Zinc Mine Operation: optimisation benefits
Angas Zinc Mine Operation For personal use only The recent optimisation focus on Angas operations is yielding benefits Zinc concentrate production increased for the fourth consecutive quarter to 14,031 tonnes Increase of 9% over the prior quarter Improvements continue Quarterly ore treated and
Slide 14: Angas Zinc Mine Operation: annual ore treated
Angas Zinc Mine Operation For personal use only PIP Net Revenue Max New General Manager Community engagement Water management Annual ore treated and concentrate produced TERRAMIN AUSTRALIA LIMITED SLIDE No. 14
Slide 15: Fleurieu Exploration
For personal use only Fleurieu Exploration TERRAMIN AUSTRALIA LIMITED SLIDE No. 15
Slide 16: Fleurieu Project
Fleurieu Project For personal use only Comprises four contiguous Exploration Licences: EL3641, Bremer; EL3792, Hartley; EL4210, Currency Creek; EL4466, Langhorne Creek A fifth licence ELA-2011/00288 has been applied for to the east of the existing Fleurieu tenements, covering an addition
Slide 17: Fleurieu Prospects
Fleurieu Prospects For personal use only Location of the Pipeline Prospect (EL 3641) and the Angas Zinc Mine. Terramin’s additional Fleurieu Peninsula exploration tenements are outlined in green Pipeline, Disher Hill and Freeway prospects Prospective for Au, Cu TERRAMIN AUSTRALIA LIMITED SLI
Slide 18: Regional Prospectivity & Infrastructure
Regional Prospectivity & Infrastructure For personal use only Prospective area, as indicated by historical and modern mines Hillgrove Resources Kanmantoo Cu/Au 2.4 tpa processing facility ~ 30 km from Terramin Cu/Au prospects KANMANTOO TERRAMIN AUSTRALIA LIMITED SLIDE No. 18
Slide 19: Fleurieu Exploration Results - Pipeline
Fleurieu Exploration Results - Pipeline For personal use only Gold copper bismuth prospect, shear zone hosted with 1.2km strike length, discovered in 2011 ~0.5km east of historic Frahns copper mine & 1.4km south of the historic Lady Jane gold mine Rock chip assay results - average grade of all
Slide 20: Fleurieu Exploration Results – Disher Hill
Fleurieu Exploration Results – Disher Hill For personal use only A new copper-gold prospect to the west of Frahns and Pipeline Results returned from copper carbonate stained quartz vein float was 3.02% copper, 0.84g/t gold, 0.12% bismuth and 6.4g/t silver Figure shows Disher Hill rock chip and
Slide 21: Fleurieu Exploration Results - Freeway
Fleurieu Exploration Results - Freeway For personal use only Gossans and quartz float found to the south of the Freeway prospect returned anomalous Cu and Au Terramin’s and earlier anomalous results correlate with a conductive plate modelled from the VTEM survey that sits to the west of the magn
Slide 22: Menninnie Zinc Project
For personal use only Menninnie Zinc Project TERRAMIN AUSTRALIA LIMITED SLIDE No. 22
Slide 23: Menninnie Project
Menninnie Project For personal use only A contiguous group of 5 tenements on the Gawler Craton covering 2,471 km2 All tenements 100% owned by Terramin subsidiary Menninnie Metals Pty Ltd TERRAMIN AUSTRALIA LIMITED SLIDE No. 23
Slide 24: Menninnie Project: close to infrastructure
Menninnie Project For personal use only 160km from Port Pirie smelter Close to infrastructure TERRAMIN AUSTRALIA LIMITED SLIDE No. 24
Slide 25: Menninnie Prospects and Deposits
Menninnie Prospects and Deposits For personal use only TERRAMIN AUSTRALIA LIMITED SLIDE No. 25
Slide 26: Prospective region
Prospective region For personal use only Au and Ag discoveries being drilled by explorers on adjacent tenements BHP Billiton acquired exploration tenements to north of Wipipippee Hill Wilcherry Hill iron ore mine Iron Knob Paris silver deposit Menninie Dam tenement prospects – (enlargement
Slide 27: Central and Viper deposits
Central and Viper deposits For personal use only Figure 2: Central and Viper deposits Menninnie Central Zone - Inferred Resource of 7.7Mt @ 3.1% Zn and 2.6% Pb, and 27g/t Ag (not closed off) High lead/zinc ratio Large geophysical and Pb-Zn + Cu geochemical anomalies TERRAMIN AUSTRALIA LIMITED
Slide 28: Menninnie – Joint Venture opportunities
Menninnie– Joint Venture opportunities For personal use only IP signatures of Menninnie Pb-Zn lodes and three larger untested IP targets TERRAMIN AUSTRALIA LIMITED SLIDE No. 28
Slide 29: Menninnie – Strong Foundation: Tank Hill and Mannequin
Menninnie– Strong Foundation For personal use only Menninnie Dam: Tank Hill and Mannequin prospects Anomalous amounts of lead and zinc found in soil samples from reconnaissance traverses over the shallowest portions of IP anomalies Results support lead-zinc mineralisation is the primary source
Slide 30: Menninnie – Strong Foundation: Taringa & Kolendo
Menninnie– Strong Foundation For personal use only Taringa & Kolendo Encouraging results from reconnaissance soil sampling traverses, airborne EM, and rock alteration mapping Follow-up geochemical and geophysical surveys planned to define prospects and prioritise a range of Pb-Zn, Cu and Au-Ag
Slide 31: Menninnie – Next steps
Menninnie– Next steps For personal use only Tenements give the capacity for a pipeline of projects, steadily delivering additional resources: Phone Hill, Tank Hill and Mannequin anomalies ready to drill, subject to approvals Poised to make drilling discoveries on Menninnie and Nonning tenement
Slide 32: Strategic Priorities
For personal use only Strategic Priorities TERRAMIN AUSTRALIA LIMITED SLIDE No. 32
Slide 33: Terramin Australia Ltd strategic priorities
Terramin Australia Ltd For personal use only Realise value of Tala Hamza asset Angas optimisation Leverage South Australian assets Strengthen balance sheet Unlock shareholder value TERRAMIN AUSTRALIA LIMITED SLIDE No. 33
Slide 34: Annual General Meeting May 2012
For personal use only Annual General Meeting 31 May 2012 TERRAMIN AUSTRALIA LIMITED SLIDE No. 34