Alara Resources Limited · ASX:AUQ
Alara Resources — Shareholder Meeting (November 2010)
37 slides from Alara Resources's shareholder meeting presentation, Nov 30, 2010
Slide 1: Market Announcement: Presentation at Annual General Meeting
Alara Resources Limited Telephone | +61 8 9214 9787 A.B.N. 27 122 892 719 Facsimile | +61 8 9322 1515 Level 14, The Forrest Centre Web | www.alararesources.com.au 221 St Georges Terrace Email | info@alararesources.com.au Perth Western Australia 6000 Tuesday, 30 November 2010 For personal use only MA
Slide 2: Moving from Junior Explorer to Base Metals Developer
For personal use only Alara Resources Limited Moving from Junior i Explorer l to Base Metals Developer p 30th November 2010
Slide 3: Executive Summary
Alara Resources ‐ Base Metal Developer Executive Summary For personal use only • Alara l has h recently l secured d three h base b metall projects at varying stages off development, of which the most advanced is Khnaiguiyah (Saudi Arabia): – Advanced zinc‐copper project with historical “In place min
Slide 4: Executive Summary (continued)
Executive Summary (continued) For personal use only • Daris (Oman): Cyprus Type VMS copper‐gold target; 25 drill‐holes completed in 2 out of 12 mapped copper occurrences. In 3 diamond core holes, intersections include: – 17.20m at 8.05% copper, as copper sulphides and 2.67 g/t gold, from 51.50m incl
Slide 5: Company Profile
Company Profile For personal use only Directors ASX Code: AUQ Shanker Madan (MD) BHP, Rio Tinto, Hamersley Iron. Market Cap (5 Oct 2010): 35+ years’ mining industry experience. $30.9M Ian J Williams AO,* Issued Capital: 40 plus years’ mining experience with Hamersley Iron, Rio Tinto, Pasminco. ‐ Sha
Slide 6: Three projects provide a strong pipeline of base metal development projects
These three projects provide Alara with a strong pipeline of base For personal use only metal development projects Design/ Exploration Feasibility Production Construction Saudi Arabia: Khnaiguiyah Zinc ‐ Copper Feasibility study substantially completed . Will take Alara ~ 12 months to complete to BF
Slide 7: Saudi Arabia: Khnaiguiyah Zinc – Copper Project Summary
Saudi Arabia: Khnaiguiyah g y Zinc – Copper pp Project Summary For personal use only Previous Work Feasibility study in advanced stages of completion. “Historical in place Minable Reserves” of 10.3Mt @ 7.46% Zn and 0.8% Cu1 Production 55,000 Tpa zinc production within 18 months of BFS completion. T
Slide 8: Khnaiguiyah Zinc-Copper Project
Khnaiguiyah Zinc‐Copper Project For personal use only Power line 2hrs from Riyadh on Project site and Riyadh‐Jeddah y Highway g y construction camp Sealed Road connecting project site to Al Quwaiyah 20min. from site on the high way to Riyadh Mineralised body 3 Pre‐stripped area Mineralised body 3 Co
Slide 9: Khnaiguiyah Project tenure covering 380 sq km
Khnaiguiyah Project comprises a Mining Lease Application, 2 EExploration l ti Li Licences and d 5 Exploration E l ti Licence Li Applications A li ti For personal use only Covering 380 sq km Riyadh Khnaiguiyah Zinc‐ Copper Project 170km from Riyadh on Ar Riyadh Highway 30/11/2010 8
Slide 10: Previous studies confirmed potential for commercial development
Previous Khnaiguiyah studies have confirmed the potential for For personal use only commercial development of the project • “In Place “I Pl Minable Mi bl Reserves” R ” off 10.23Mt 10 23Mt @7.46% @7 46% zinc i and d 0.80% 0 80% copper att 4% Zn Z Cut‐ C t off and 0.50m dilution at true grade and dens
Slide 11: Khnaiguiyah is an advanced development project
Khnaiguiyah is an advanced development project, project with completed For personal use only Pre‐Feasibility and well‐advanced Feasibility Studies • EExploration l ti and d Pre‐feasibility P f ibilit St Study d conducted d t db by BRGM and d ffurther th studies t di conducted by Manajem (Vendor) inc
Slide 12: Mineralisation controlled by carbonatized shears
Khnaiguiyah Project – Mineralisation is controlled by carbonatized shears Potential for further discoveries in unexplored shears and shears. For personal use only along strike extension of explored shear zones is high 30/11/2010 11
Slide 13: Mine Master Plan Layout - 2009 Feasibility Study
Khnaiguiyah Zinc‐Copper Mine Master Plan Layout ‐ 2009 Feasibility Study For personal use only 12
Slide 14: Mineralised Body - Stacked 3D Model
Mineralised Body 3 ‐ Stacked 3D Model For personal use only Zinc Copper 6/10/2010 13
Slide 15: Mineralised Body thicker and close to surface on east limb
Mineralised Body 3 is thicker and close to surface on the east limb but For personal use only generally copper rich and open towards the west K97_136 – 4m @ 3.58% Zn, 0.27% Cu 3m @ 3.93% Zn, 0.19% Cu 10m @ 3.06% Zn, 0.05% Cu K97_197 – 2m @ 3.1% Zn, 0.02% Cu K97_198 – 5m @ 3.99% Zn, 0.21% Cu K97_199
Slide 16: Mineralised Body contains majority of identified mineralisation
Mineralised Body 3 contains the majority of the identified mineralisation It is richer in zinc with a distinct copper rich zone to mineralisation. For personal use only the east K97_219 – 37m @ 8.51% Zn, 0.22% Cu K97 220 – 2m @ 2.93% Zn, 0.23% Cu K97_220 3m @ 4.41% Zn, 0.07% Cu 15m @ 12.18% Zn, 0.34
Slide 17: Mineralised Body thicker and well defined at depth
Mineralised Body 3 is thicker and well defined at depth. It is has a distinct zinc rich zone to the east and it is open and copper rich to the For personal use only west K97_263 – 23m @ 4.4% Zn, 0.08% Cu KHNC_76 – 8.31m @ 13.5% Zn, 0.37% Cu K97_151 – 16.78m @ 6.18% Zn, 0.31% Cu KHNC_77 – 61.7m @ 9.0
Slide 18: Mineralised Body - stacked 3D Model
Mineralised Body 2 – stacked 3D Model For personal use only Zinc Copper 17
Slide 19: Mineralised Body generally copper rich and open to the east
Mineralised Body 2 is generally copper rich and open to the east For personal use only KZ2_180‐16m @10.3% Zn, 0.33% Cu KZ2_300‐17m @ 4.06% Zn, 0.77% Cu KZ2_170‐ 4m @ 3.36%Zn, 0.03% Cu 18m @ 3.87% Zn, 0.82% Cu KNP_21 ‐15m @ 6.17% Zn, 0.16% Cu 6m @ @0.49% Zn,, 0.72% Cu KZ2_173‐ 2m @ 4.33% Zn, 0.24% Cu
Slide 20: Mineralised Body is shallow and thick
Mineralised Body 2 is shallow and thick For personal use only KZ2_311 – 8m @ 4.6% Zn, 0.5% Cu KZ2_351 ‐ 8m @ 7.5% Zn, 0.3% Cu KZ2_312 – 18m @ 7.2% Zn, 0.1% Cu KZ2_313 – 17m @ 18% Zn, 0.3% Cu KZ2_314 – 18m @ 6.5% Zn,, 0.25% Cu KZ2_315 – 24m @ 5.5.% Zn, 0.2% Cu 6/10/2010 19
Slide 21: Khnaiguiyah - Alara's 12 month plan
Khnaiguiyah – Alara’s 12 month plan For personal use only 2010 2011 Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Finalise formal JV agreements. Establish office in Riyadh. LLog and d analyse l samples l ffrom h holes l completed recently to extend mineralisation. Obtain Mining Lic
Slide 22: Oman - Exposure to large area with copper occurrences
Oman ‐ Exposure to a large area with copper occurrences in a well For personal use only known Copper Belt. Initial drilling by Alara shows good results. Oman Copper has been mined and processed in Oman for over 6,000 years. Project Location Within known Copper belt with current mining and recent maj
Slide 23: Oman Copper Exploration - Drilling Results
Oman Copper Exploration ‐ Drilling Results For personal use only • Alara has completed a 25 drill hole programme in 2 of the 12 known prospects prospects. Results received from one of these prospects, where 3 core holes were drilled to test previously indicated massive sulphide mineralisation around
Slide 24: VMS Copper Deposits in the Oman Ophiolites
VMS Copper Deposits in the Oman Ophiolites Daris 7 Block For personal use only Copper deposit Copper Muscat ‐ Sohar Smelter Highway Alara Office 30/11/2010 23
Slide 25: Daris Block Prospectivity Model
Daris Block 7 Prospectivity Model For personal use only Spatial Data and Predictive Modelling of Block‐7 VMS potential reviewed by consultants based on available geological, geological geophysical and geochemical data. Predictive Map for VMS Cu‐Au mineralisation compiled using Weights of Evidence te
Slide 26: Daris East Oxide & Sulphide Copper Deposits
Daris East Oxide & Sulphide Copper Deposits and Views of the Drilled Area For personal use only Core hole DEDC002 6m massive sulphides Native Cu in the intersected at 37‐43m oxide body drill cuttings Gossan Oxide and sulphide p copper‐gold pp g mineralisation reported p in historic drilling has been
Slide 27: Daris 3A-5 Sulphide Copper Deposit
Daris 3A‐5 Sulphide Copper Deposit For personal use only Coree Drillingg at Co D3DC003 Gossan Core hole D3DC003 17.2m massive sulphides from 51.5m averaging 8.05% Cu, 2.67 g/t gold 30/11/2010 26 26
Slide 28: Next Steps
Next Steps VTEM survey For personal use only Ground check Follow up drilling Review if small cash flow is possible using existing infrastructure 30/11/2010 27 27
Slide 29: Chile - El Quillay Copper - Gold Project
Chile ‐ El Quillay Copper ‐ Gold Project For personal use only Chile Chile produces one third of the world’s copper, is highly prospective and has low sovereign risk. Project Location 330Km north of Santiago and 20km north of Cambarbala City. Close to port and infrastructure, including a toll smelte
Slide 30: El Quillay Project
El Quillay Project El Quillay Norte For personal use only Main workings Recent decline Shaft and dump This hill is largely covered by oxide cap A half spiral decline dug in 2008 is wide enough to take regular trucks and loaders to sulphide Decline Entrance mineralisation below the oxide 30/11/2010 c
Slide 31: El Quillay Project comprises several walk up drill targets
El Quillay Project – comprises several walk up drill targets For personal use only • Ell Quillay ll Project comprises • El Quillay Norte ‐ Copper prospect along the El Quillay regional fault zone (has a recent decline). • El Quillay Central – Copper prospect along the El Quillay fault zone. • El Qui
Slide 32: Lana and Corina breccia pipes and porphyry below
Lana and Corina breccia p pipes p and porphyry p p y y below Two drill holes intersected greater than 130m of mineralisation, one of which intersected 180m For personal use only of 0.70% Cu and up to 200ppm Mo show excellent potential to build an early JORC resource. 30/11/2010 31
Slide 33: Lana and Corina breccia pipes are walk up targets
Lana and Corina breccia pipes and porphyry below are walk up For personal use only target with demonstrated mineralisation Current mining operations Breccia View over the area and the old shaft Lana and Corina are well defined shallow targets significantly richer than the porphyry below and have the
Slide 34: Pipeline of projects includes potential for positive cash flow by 2011-12
Alara’s pipeline of projects includes potential for positive cash For personal use only flow by 2011‐12 2010 2011 2012 2013 Saudi Arabia – Khnaiguiyah Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Drilling Feasibility Validation Design Construction Oman Potential for near Drilling 1000m term, smal
Slide 35: Disclaimer
DISCLAIMER For personal use only This presentation contains certain forecasts and forward‐looking information including regarding possible or assumed future performance, costs, production levels or rates, prices, reserves and resources or potential growth of Alara Resources Limited, industry growth
Slide 36: Alara Resources Limited
Alara Resources Limited A.B.N 27 122 892 719 For personal use only ASX Code: C d AUQ Level 14, The Forrest Centre 221 St Georges G TTerrace Perth, Western Australia 6000 TTelephone: l h +61 61 8 9214 9787 Facsimile: +61 8 9322 1515 E il info@alararesources.com.au Email: i f @ l www.alararesources.co
Slide 37: Notes: Competent Person Statement
20101130AUQ ASX Presentation at Annual General Meeting For personal use only NOTES: The information in this announcement that relates to Exploration Results, Mineral Resources or Ore Reserves has been compiled by Mr Hem Shanker Madan who is a Member of The Australian Institute of Mining and Metallur
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