Stellar Resources Limited · ASX:SRZ
Stellar Resources — TMEC Conference Hobart 2017
22 slides from Stellar Resources's conference presentation, Aug 4, 2017
Slide 1: Heemskirk Tin Project
For personal use only Heemskirk Tin Project An important project for Tasmania TMEC Conference Hobart 4th August 2017 ASX: SRZ www.stellarresources.com.au
Slide 2: Heemskirk is Tin in Tasmania
Heemskirk is Tin in Tasmania For personal use only Tin is an energy metal with a bright future Heemskirk is a globally significant tin resource Stellar has progressed the project through the early hurdles What is still to be done to complete a DFS? Dare to dream – can Heemskirk become
Slide 3: Tin price recovery underway
Tin price recovery underway For personal use only LME tin price is up 50% from its mid-January 2016 low Supply rationalisation underpinning price Supply restraint from largest producers China and Indonesia through 2016 and China in 2017 Growth of new supply from Myanmar accommodated by China cut
Slide 4: Tin demand – next growth phase?
Tin demand – next growth phase? For personal use only Tin demand – long-periods of strong growth Tin demand characterised by long periods of above trend growth driven by new uses Emergence of tin in lead acid batteries one example of a new use that could gain more traction Current growth pause
Slide 5: VRLA batteries 4th largest end use
VRLA batteries 4th largest end use For personal use only Ebike growth rates approaching 20% pa in China 5
Slide 6: Path from Discovery to Development
Path from Discovery to Development For personal use only NW Tasmania – Australia’s largest and most Evolution of a world class tin project productive tin field QH tin deposit discovered early 1960s by Gippsland Ltd Aberfoyle jv with Gippsland in 1971 – discovered Montana and Severn deposits Ti
Slide 7: JORC 2012 confirms resource quality
JORC 2012 confirms resource quality For personal use only Mineral Resource estimate more robust following JORC 2012 upgrade 6.35mt @ 1.13% Sn or 72,000t of contained Sn 97% of contained Sn is in the form of cassiterite – the most readily recoverable Sn mineral 64% of Indicated Resource in Lowe
Slide 8: Heemskirk – a world class tin project
Heemskirk – a world class tin project For personal use only Heemskirk is well placed on the grade tonnage curve - potential to increase grade and tonnes Existing underground producers San Rafael and Renison facing declining grade as are other producers Many competitors either lower grade or in
Slide 9: Attractive tin industry cost curve
Attractive tin industry cost curve For personal use only Industry cost curve provides attractive margin for low cost operations Heemskirk is likely to be placed at the 45th percentile Current LME tin price No further costs to be removed from the industry – cost curve at a cyclical low ITRI e
Slide 10: Progress through early hurdles
Progress through early hurdles For personal use only Several studies completed - final feasibility remaining Study PFS (Prelim Feasibility) OPFS (Optimisation) Fast Start (Scoping) Increasing NPV/Capex Completion Jul-13 Nov-15 Sep-16 Development underground mine underground mine underground mine Str
Slide 11: Mining Lease Granted
Mining Lease Granted For personal use only Mining Lease grant is a significant project milestone that increases tenure and adds security over the right to mine tin ML 2023P/M granted to wholly owned subsidiary Columbus Metals Limited Term is 12 years to 1st January 2029 Provides right to carry
Slide 12: What is still to be done?
What is still to be done? For personal use only Stellar is poised to embark on a DFS for the Heemskirk project based on a fast start approach April 2017 - drilling commenced - significant news-flow to follow over the next 12 months Drilling targeting high-grade structures and testing exploration
Slide 13: Drilling program underway
Drilling program underway For personal use only Focus on largest deposits – Severn and Queen Hill 13
Slide 14: Good initial results from Severn
Good initial results from Severn For personal use only ZS132 intersected 14m @ 1.4% tin from 333m to 347m Drill direction at right angles to historical drilling to test vein orientation High-grade veins parallel and at high angle to the deposit strike Boundary position of deposit confirmed a
Slide 15: Dare to dream – the next Renison?
Dare to dream – the next Renison? For personal use only Comparison with Renison shows that known deposits at Heemskirk are just the start – mineralisation at Renison over 1200m vertically from surface Australia’s oldest and largest Sn mine is located 18km away to the NE of the Heemskirk Sn project
Slide 16: Heemskirk is Tin in Tassie
Heemskirk is Tin in Tassie For personal use only Tin is an energy metal with a bright future Heemskirk is a significant tin resource Stellar has progressed the project through the early hurdles What is still to be done to complete a DFS? Dare to dream – can Heemskirk become another Re
Slide 17: Disclaimer
Disclaimer For personal use only Forward Looking Statement This presentation may include forward-looking statements. Forward-looking statements include, but are not limited to statements concerning Stellar Resources Limited’s planned activities and other statements that are not historical facts. Whe
Slide 18: Appendix
For personal use only Appendix Best location for a new mine Fast Start = sequential development Recovery gains upgraded valuation ASX: SRZ www.stellarresources.com.au
Slide 19: Best location for a new mine
Best location for a new mine For personal use only West Coast Tasmania is a world-class tin jurisdiction Significant mining district Many historical and current operating mines across various commodities Supportive local community and skilled workforce Experienced workforce available with se
Slide 20: Fast Start = Sequential Development
Fast Start = Sequential Development For personal use only Surface Queen Hill Long Hole Stoping Montana Long Hole Stoping Severn Drift & Fill Severn Long Hole Stoping Open at depth 500m 20
Slide 21: Recovery gains upgraded valuation
Recovery gains upgraded valuation For personal use only Metallurgical optimisation led to smaller primary grind and elimination of heavy media separation and silica float circuits saving capex Removed heavy media separation Coarser grind size Increased to 250µ from 160µ Improved recovery fro
Slide 22: Stellar Resources Limited
Stellar Resources Limited Level 17, 530 Collins Street For personal use only Melbourne VIC 3000 Phone +61 3 9618 2540 Fax +61 3 9649 7200 www.stellarresources.com.au 22