Magnetite Mines Ltd. · ASX:MGT
Magnetite Mines — Shareholder Meeting (November 2019)
17 slides from Magnetite Mines's shareholder meeting presentation, Nov 29, 2019
Slide 1: Annual General Meeting Investor Presentation
For personal use only Globally Significant Orebody Existing Infrastructure Exclusive Technology 29 November 2019 Annual Investor GeneralPresentation Meeting November 2019
Slide 2: Disclaimer
Disclaimer For personal use only Important Notice The purpose of this presentation is to provide general information about Magnetite Mines Limited ("MGT"). It is not recommended that any person makes any investment decision in relation to MGT based on this presentation. This presentation contains ce
Slide 3: Razorback Iron Project Key Advantages
Razorback Iron Project Key Advantages What differentiates Razorback from other magnetite projects? For personal use only Key advantages Providing Existing Rail, Port and Power Infrastructure Low capital cost Premium product (68.5% Fe with ~3.3% SiO2) Soft magnetite ore with simple flowsheet pote
Slide 4: 2019 Highlights
2019 Highlights For personal use only • March – new company website launched • May – Appointment of ex WMC, BHP, Rio Tinto & Glencore executive Mark Eames as Strategic Advisor • September – conclusion of negotiations and subsequent HoA executed re convertible notes • October – Process flowsheet opti
Slide 5: 2019 Scoping Study
2019 Scoping Study For personal use only SCOPING STUDY APPROACH START-UP PROJECT METRICS • Managed internally to keep costs low • Small scale, staged production for expansion • Critical inputs such as process flowsheet design and • Truck and shovel contractor mining costings provided by external con
Slide 6: Exclusive access to groundbreaking Ore Sorting technology
Magnetite Mines has exclusive access to groundbreaking Ore Sorting technology Ore For personal use only MR Sensor Diverter • Executed an exclusivity agreement with NextOre • Opportunity to apply Magnetic Resonance sensing and ore sorting technology developed by CSIRO to increase plant feed grade and
Slide 7: Simple, shallow and low strip ratio pit shell
Simple, shallow and low strip ratio pit shell For personal use only Razorback Ridge is the largest outcropping of magnetite Proposed pit shells for the Razorback Iron Project mineralisation in the Braemar Iron Formation 7
Slide 8: 3.9 billion tonne resource close to existing infrastructure
3.9 billion tonne resource close to existing infrastructure For personal use only Logistics Summary • ~ 240km NE of Adelaide within the Braemar Iron Formation • ~ 99km to NEM transmission lines and substation • ~ 40km from mine site to rail • ~ 375km rail haul from siding to port • Export via Port A
Slide 9: Development pathway generates study results end of next year
Development pathway generates study results end of next year For personal use only 2019 2020 2021 2022 2023 2024 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Scoping Study – Base Case Scoping Study – Optimisation PFS Capital Raising PFS DFS Funding DFS Study Permitting and Nativ
Slide 10: Focussed on high-grade low impurity products
Focussed on high-grade low impurity products For personal use only Indicative Razorback Iron Project – Fe Concentrate Specs1 Typical Brand Quality Comparison 55.0% 57.0% 59.0% 61.0% 63.0% 65.0% 67.0% 69.0% Fe % 68.5 RAZORBACK Carajas Fines (Vale) Silica % 3.3 Newman Fines (BHP) Vale SSF Vale BBF Alu
Slide 11: China steel production is hitting record levels, leading to increased iron ore imports
China steel production is hitting record levels, leading to increased iron ore imports For personal use only • Chinese steel production at record levels, iron imports lagging China quarterly iron ore imports and crude steel production (annualised)1 • Narrowing gap in Chinese Steel 1,200 production a
Slide 12: High Grade Fines has had premium and stable pricing
High Grade Fines has had premium and stable pricing1 For personal use only • Strong long term iron ore pricing with sustainable premiums paid for high grade iron ores • 10 year 62% Fe average of approx. US$100/t1 • In the last 3 years there has only been 3 months when the 65%Fe price fell below US$8
Slide 13: Market value per resource tonne indicates rerating potential
Market value per resource tonne indicates rerating potential For personal use only AU$ Value per In-Situ Resource Tonne $100.000 $17.00 /tonne $10.000 $1.000 Magnetite Mines Razorback Iron Project $0.003/tonne $0.100 $0.010 $0.001 13 Reference – Open source data. Indicative only. Calculation of AUD
Slide 14: Junior explorers - market capitalisation comparison
Junior explorers - market capitalisation comparison For personal use only Market Capitalisation Peer Comparison (AU$M) $80 $70 $68M $60 $50 Magnetite Mines $40 Razorback and Ironback $36M Hill Deposits – JORC 2012 $30 $24M $19M $20 $17M $10M $10 $3M $0 3.9 Bt 2.5 Bt 1.5 Bt 1.3 Bt 0.45 Bt 4.5 Bt 1.1
Slide 15: 2020 – The Year Ahead
2020 – The Year Ahead For personal use only • Communication to potential investors • Undertake drilling campaign targeting highest grade*, shallow ore zones and increase geotechnical understanding for pit design and processing plant placement and design • Undertake detailed water study to prove-up s
Slide 16: The MGT Value Proposition
The MGT Value Proposition Five key advantages of the Razorback Iron Project For personal use only Globally significant iron ore resource in low sovereign-risk jurisdiction Open-access to existing port, road, rail and power infrastructure Conventional processing/beneficiation flowsheet with tec
Slide 17: Questions?
For personal use only Questions? Mr Peter Schubert Executive Chairman Magnetite Mines Limited www.magnetitemines.com
Magnetite Mines — Shareholder Meeting (November 2019) on 6ix