Sheffield Resources Limited · ASX:SFX
Sheffield Resources — Shareholder Meeting (November 2011)
26 slides from Sheffield Resources's shareholder meeting presentation, Nov 28, 2011
Slide 1: Right Place, Right Time – Annual General Meeting
For personal use only SHEFFIELD RESOURCES LTD ASX:SFX RIGHT PLACE, RIGHT TIME Annual General Meeting 28 November 2011
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
Slide 3: Corporate Snapshot
CORPORATE SNAPSHOT For personal use only Cash Position $3.3m (at 30/9/2011) Board & Management Will Burbury Chairman Capital Structure Bruce McQuitty Managing Director Market Cap $17m (undiluted, at 29cps) David Archer Technical Director Shares 58.7m David Boyd Exploration Manager Options 27.2m (20c
Slide 4: Year in Review
YEAR IN REVIEW For personal use only ASX Listed on 15 December 2010 after oversubscribed IPO Recruited high quality operations team Acquisition of 3 HMS projects Mineral Resources for 3 HMS projects in North Perth Basin Scoping work commenced Dampier identified as potential company-makin
Slide 5: Project Summary
PROJECT SUMMARY For personal use only HMS • Dampier Zircon: Exploration Target1 of 450-850Mt @ 5-10% HM TIER 1 • McCalls High TiO2 Ilmenite: Exploration Target1 of 1.5Bt-2.5Bt @ 1.1-1.3% HM HMS • Multiple projects in North Perth Basin TIER 2 • Resource inventory totals 4.1Mt HM2 • Scoping work comme
Slide 6: Seizing the Opportunity
SEIZING THE OPPORTUNITY For personal use only First Resource at Yandanooka Acquisition of McCalls HMS Project Acquisition of West North Perth Basin Eneabba HMS HMS Tenement Projects from Iluka Applications ASX Listing Dampier Tenement Applications (Pricing data compiled by Sheffield from various ope
Slide 7: Project Locations
PROJECT LOCATIONS For personal use only Over 6,000km2 of tenure in WA Large consolidated tenement holdings Focus on regions with infrastructure advantages 6
Slide 8: Mineral Sands Uses & Markets
MINERAL SANDS USES & MARKETS For personal use only Two distinct product streams: Zircon ($2,400-$2,600/t) Main use in the manufacture of ceramics and refractory linings Global market 1.4Mtpa Acute shortage of supply Titanium Minerals Rutile: >95% TiO2 ($1,300-$1,400/t) Leucoxene: 85-95% Ti
Slide 9: Dampier
DAMPIER For personal use only Ranks in top tier of undeveloped Zircon projects Exploration Target1 of 450-850Mt @ 5.0-10.0% HM (Thunderbird) Mineral assemblage includes 8% Zircon Located 60km west of Derby port Ex Rio Tinto project, dropped during GFC Located on Crown Land (pastoral leas
Slide 10: Dampier
DAMPIER For personal use only Exploration Target1 of 450-850Mt @ 5.0- 10.0% HM applies to core of Thunderbird prospect Based on 8 drill intersections including: 45m @ 9.85% HM from 3m (JD073), 27m @ 7.00% HM from 1.5m (JD023), and 27m @ 7.92% HM from 9m (JD003) Dimensions 6 x 5 km, av. width 2
Slide 11: Dampier
DAMPIER 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 0 However high zircon content s
Slide 12: McCalls
MCCALLS For personal use only Large high TiO2 ilmenite project Drilled by BHP in early 1990s Exploration Target1 of 1.5-2.5 billion tonnes @ 1.1-1.3% HM Sheffield‟s drilling improved on BHP‟s results: • Thicker (av. 44m thick) • Higher grade (av. 1.35% HM) Resource estimate due Q4 2011 1Sh
Slide 13: McCalls
MCCALLS For personal use only BHP‟s work indicates mineral assemblage of: ilmenite 74.2% (@ 62.6% TiO2), zircon 4.37%, rutile 0.52% and leucoxene 4.08% Sheffield‟s preliminary metallurgical testwork confirmed high TiO2 content of ilmenite Higher value ilmenite, potentially suitable for chlorid
Slide 14: North Perth Basin
NORTH PERTH BASIN For personal use only Medium sized projects (Tier 2) 4.1Mt contained HM1 in resource inventory (3 deposits) Near term development and early cash flow potential Strategy is to identify sufficient HM in district to support annual production of 100-200Kt HM Scoping studies n
Slide 15: North Perth Basin Competitive Advantages
NORTH PERTH BASIN 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 Proxim
Slide 16: Resource Inventory
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 12 8.5 15 73
Slide 17: Yandanooka
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% rutile, 10.2
Slide 18: Ellengail
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 has commenced 1Ref
Slide 19: West Mine North
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, 10.1% rut
Slide 20: Drummond Crossing
DRUMMOND CROSSING For personal use only New discovery in Eneabba field Sheffield‟s drilling outlined mineralised zone 3km x 1.5km, av. 9m thick Intersections include: 6m @ 5.24% HM from 0m (DCAC0025) 12m @ 2.74% HM from 0m (DCAC0024) 10.5m @ 3.16% HM from 0m (DCAC0020) Open along strike to n
Slide 21: Pilbara Iron Project
PILBARA IRON PROJECT For personal use only East Pilbara focus Significant hematite mineralisation discovered at Three Pools and Panorama during 1H 20111 Exploration Target2 of 20-60Mt @ 58-64% Fe outlined at Three Pools 1st pass drilling completed, assays imminent 2Sheffield has not yet repo
Slide 22: Talc
TALC 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 and new talc beneficiation plant.
Slide 23: Talc Uses & Market
TALC USES & MARKET For personal use only (source: RTM, 2006) (source: RTM, 2006) 22
Slide 24: Exploration & Evaluation Timetable
EXPLORATION & EVALUATION TIMETABLE For personal use only Project 2011 Q3 2011 Q4 2012 Q1 2012 Q2 2012 Q3 2012 Q4 Tier 1 HMS Dampier Drilling Resource Est Scoping McCalls Resource Est Scoping Prefeasibility Tier 2 HMS Yandanooka Resource Est (done) Scoping Prefeasibility Feasibility Ellengail Resourc
Slide 25: Conclusions
CONCLUSIONS For personal use only A rapidly emerging player in resurgent Mineral Sands sector Dampier zircon project set to become Company‟s flagship in 2012 Moving to feasibility on North Perth Basin projects Targeting high TiO2 ilmenite to supply chloride pigment market Further upside po
Slide 26: Appendix: HMS Mineral Resources Tabulation
APPENDIX 1 HMS MINERAL RESOURCES TABULATION For personal use only Sheffield Resources’ Mineral Resource1 inventory at a 0.9% HM cutoff as at 7 November 2011. Deposit Resource Material Bulk HM Slimes Osize In-situ Zircon Rutile Leuc. Ilmenite Category (Mt)* Density % % % HM % % % % (Mt)* Yandanooka I
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