Bci Minerals Ltd · ASX:BCI
Bci Minerals — BC Iron — Sydney Resources Roundup May 2008
25 slides from Bci Minerals's conference presentation, May 6, 2008
Slide 1: Sydney Resources Roundup
For personal use only The Time The Place The Metal Sydney Resources Roundup May 2008 Mike Young, Managing Director
Slide 2: Forward Looking Statements
Forward Looking Statements For personal use only 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 fac
Slide 3: Executive Summary
EXECUTIVE SUMMARY For personal use only ASX Listed ¾ Listed ASX December 2006 – Maiden Resource March 2008 – 15 months ¾ Major shareholders include Consolidated Minerals and Alkane Resources ¾ Capital raising $9M November 2007 – Cash on hand $10M Nullagine ¾ Inferred Resource 28 Mt @ 57.4% Fe at Bon
Slide 4: Executive Summary - Corporate
Executive Summary - Corporate For personal use only Capital Structure Top Shareholders Number % Total Escrow Shares on issue Trading 35.4 15.6 26% Dec 2008 Consolidated Minerals Restricted 24.0 Alkane Resources Ltd 9.0 15% Dec 2008 TOTAL 59.4 UBS Wealth Management 4.9 8.2% Options 4.3 1.75 TOTAL 24.
Slide 5: Executive Summary - Location
Executive Summary - Location For personal use only Project Locations ¾ Pilbara Region Nullagine Project ¾ Close to infrastructure ¾ 35 km north of Fortescue’s Christmas Creek Operation ¾ DSO Study Underway Bungaroo Creek Project ¾ Adjacent Rio’s Bungaroo CID ¾ EL Applications ¾ Grass roots explorati
Slide 6: Executive Summary – Location
Executive Summary – Location For personal use only Project Locations ¾ Pilbara Region Nullagine Project ¾ Close to infrastructure ¾ 35 km north of Fortescue’s Christmas Creek Operation ¾ DSO Study Underway Bungaroo Creek Project ¾ Adjacent Rio’s Bungaroo CID ¾ EL Applications ¾ Grass roots explorati
Slide 7: Executive Summary - Location: Nullagine Project
Executive Summary - Location For personal use only Nullagine Project Bonnie Creek CID ¾ Prospects lie 30-40 km from Fortescue ¾ 5 DSO Prospects - only two at JORC Status Nullagine River CID ¾ Potential for satellite deposits ¾ DSO & upgrade CID Shaw River CID ¾ Long term potential for upgrade CID &
Slide 8: The Bonnie Creek CID Project
THE BONNIE CREEK CID PROJECT For personal use only Inferred Resource & Targets 21Mt @ 57.3% Fe ¾ DSO 28Mt @ 57.4% Fe (65.1% CaFe) ¾ CID 47Mt @ 53.6% Fe (61.5% CaFe) ¾ Targets 15 – 25 Mt DSO Target 10- 15 Mt Scoping Study Team 7Mt @ 57.8% Fe ¾ Manager GR Engineering Target 5 - 10 Mt ¾ Resource & Mine
Slide 9: Bonnie Creek CID Mineral Resource
Bonnie Creek CID Mineral Resource For personal use only Bonnie Creek CID Project Inferred Mineral Resource Estimate – April 2008 DSO Resource Estimate Prospect COG1 Zone Mt Fe CaFe SiO2 Al2O3 P S LOI1000 Outcamp 55.0 DSO 20.6 57.3 64.9 3.18 1.70 0.016 0.017 11.8 Coongan 55.0 DSO 7.4 57.8 65.5 2.39 1
Slide 10: Bonnie Creek CID vs Peers
Bonnie Creek CID vs Peers For personal use only Other DSO Element BCI - BHP RIO AQA CID AGO Deposits Compound Bonnie DSO Yandi Robe R Res Est Res Est Fe 57.4 58.0 57.0 56.7 57.0 CaFe 65.1 64.2 62.8 62.1 63.7 SiO2 3.0 5.0 5.7 5.8 6.3 Al2O3 1.7 1.3 2.7 3.5 1.5 P 0.02 0.04 0.04 0.07 0.04 S 0.02 0.01 0.
Slide 11: Bonnie Creek CID - Outcamp Prospect
Bonnie Creek CID - Outcamp Prospect For personal use only 801,000E 802,000E 803,000E 804,000E 805,000E 7,562,000N 7,561,000N Scale 500 m Outcamp Well ¾ 36 Mt @ 53.5% Fe CID ¾ incl. 21 Mt @ 57.3% Fe DSO ¾ Low strip ratio ¾ Outcropping mineralisation 11
Slide 12: Bonnie Creek CID - Outcamp Prospect
Bonnie Creek CID - Outcamp Prospect For personal use only 801,000E 802,000E 803,000E 804,000E 805,000E 7,562,000N 7,561,000N 20 x vertical exaggeration 12
Slide 13: Bonnie Creek CID - Outcamp Prospect
Bonnie Creek CID - Outcamp Prospect For personal use only Inferred Resource Outcamp Well Zone Mt Fe CaFe SiO2 Al2O3 P S LOI CID 35.9 53.5 61.3 5.03 3.34 0.017 0.018 12.7 DSO 20.6 57.3 64.9 3.19 1.72 0.016 0.017 11.8 View looking north 20 x vertical exaggeration 13
Slide 14: Bonnie Creek CID – Warrigal Well Prospect
Bonnie Creek CID – Warrigal Well Prospect For personal use only 807,000E 808,000E Warrigal Well CID ALL INTERSECTIONS ¾ Directly east of Outcamp Well FROM SURFACE 11m @ 58.3% Fe ¾ Target 10 – 15 Mt 7,563,000N ¾ Up to 27 m intersection CID 13m @ 58.3% Fe ¾ 7.2 km combined length 11m @ 58.4% Fe ¾ Outc
Slide 15: Shaw River CID
Shaw River CID For personal use only Shaw River CID ¾ Med grade CID 763,000E • High CaFe Detrital ¾ Detrital Deposits • Low cost mining CID ¾ Potential source of upgrade ore ¾ Simple upgrade 764,000E 7,553,000N 7,554,000N 7,555,000N 15
Slide 16: Channel Iron Deposits
Channel Iron Deposits For personal use only Formation of CID Iron enrichment Iron bearing rock Steep terrain – rapid erosion Laterite Development Detritals Modern Creek Advanced erosion – channel fill Modern Day Erosion 16
Slide 17: Channel Iron Deposits
Channel Iron Deposits For personal use only Modern day channel - New Zealand 17
Slide 18: Channel Iron Deposits
Channel Iron Deposits For personal use only Shaw River Mesa 18
Slide 19: Channel Iron Deposits – Minerals and “CaFe”
Channel Iron Deposits – Minerals and “CaFe” For personal use only Iron ore Magnetite Original Assay Minerals ¾ Fe3O4 58% Fe ¾ 72% Fe & 28% O 10% LOI ¾ Pellets Hematite ¾ Fe2O3 Sintering ¾ 70% Fe & 30% O Calcination Volatiles off 1400° C H2O C CO2 ¾ Lump / Fines LOI = Loss on ignition Goethite ¾ FeO(
Slide 20: Typical Iron Ore Deposits
Typical Iron Ore Deposits For personal use only Iron Ore Comparison CID Bedded Mt BIF Yandi, Robe R Newman, FMG Deposits Nullagine Tom Price Karara, Sth Down Dom mineral Goethite Hematite Magnetite Ore Grade Fe% ~57% 58-63% ~30% Upgrade DSO DSO > 65% CaFe ~64% ~65% - Contaminants Al, Si Al, Si, S, P
Slide 21: Infrastructure Solutions
INFRASTRUCTURE SOLUTIONS For personal use only FMG MOU ¾ Facilitation of negotiation over bulk commodity transport Chichester operations to Port Hedland ¾ Provides rail loading, haulage, port handling and ship loading services ¾ Agreed rate of up to 5 Mtpa DSO – no blending at port ¾ Parties to cons
Slide 22: Conceptual Development Plan
CONCEPTUAL DEVELOPMENT PLAN For personal use only Timing ¾ Baseline Environmental Surveys Commenced ¾ Scoping Study Bonnie Creek CID June Qtr 2008 ¾ Heritage Surveys – Palyku May 2008 ¾ Recommence drilling May 2008 ¾ Indicated + Measured Resource Second half 2008 ¾ Feasibility Study Commence Late 20
Slide 23: Investment Opportunity
INVESTMENT OPPORTUNITY For personal use only Near Term 9 Pilbara iron ore junior developer 9 100 % ownership - flexible off-take/marketing options 9 Maiden JORC Resource – 28 Mt DSO 9 Targeting additional 25 Mt DSO 9 Scoping Study 3 - 5Mtpa – underway 9 Upside with progress - Market cap at $90M Long
Slide 24: Iron Ore Investors Check List
Iron Ore Investors Check List For personal use only “Fill in the blanks . . . . .” Iron Ore Investor’s Checklist COMPANY BC Iron Hematite Yes Simple orebody Yes Direct Shipping Ore Yes Low Capex/Opex Yes Simple infrastructure Yes Access to a port1 Yes Transport to port1 Yes Ship loading at port1 Yes
Slide 25: Mike Young, Managing Director
For personal use only Mike Young, Managing Director 25